Bard College Berlin News
Aaron Allen publishes article “Germany's Economic Model is on Life Support” for World Politics Review
The economy is emerging as the top priority for voters in next month’s German election. Allen cites the German Economy Ministry's official forecast for 2024, which predicts Germany's first two-year recession in over two decades, making Germany the only major advanced economy to contract during this period. He notes there is mounting fear that the once-lauded "German model" is increasingly losing its steam, raising anxieties that Germany may once again be perceived as the "sick man of Europe."
Allen writes that Germany’s economic challenges are exacerbated by the recent collapse of its three foundational pillars: Defense guarantees from the U.S., access to open markets in China, and an abundant supply of inexpensive natural gas from Russia.
He argues that “Germany will likely need to undertake a comprehensive restructuring of its economic model to remain competitive in an increasingly dynamic and evolving global economic landscape.”
Aaron Allen is a senior nonresident fellow at the Center for European Policy Analysis. He previously worked as a national security fellow with the Robert Bosch Stiftung and as a senior foreign policy adviser in the U.S. House of Representatives. This semester Allen is teaching the courses ‘German Foreign Policy and National Security Decision-Making’ and ‘Globalization and International Relations’ at Bard College Berlin.
Post Date: 01-21-2025