Study: The Social-Ecological Market Economy in Germany

Through a network of experts, the Governance Fund makes German experience and knowledge available to partner countries around the world, helping policy makers shape reform initiatives and thus supporting various reform processes. The aim is not the uncritical transfer of German policy experiences, but the joint identification of successful and useful elements and an analysis of their relevance for the respective partner country.

The Social-Ecological Market Economy in Germany

2018 | Dr. Lars Handrich, Prof. Dr. Alexander Kritikos, Dr. Anselm Mattes and Franziska Neumann, commented by Jost de Jager, Schleswig-Holstein’s Former Minister of Economic Affairs | GIZ

Maintaining high social and environmental standards may be costly in the short term, but these high standards are also key drivers for productivity, growth and sustained long-term technological development. Germany’s general approach is actively shaping the social and ecological character of its economy through appropriate regulation, promoting private initiative and innovation and support­ing development through public-private collaboration. This mix can provide important insights for policy makers in other (developing and emerging) countries, striving for long-run economic stability and smart, sustainable, and inclusive growth. There is no universal quick path for economic growth and social well-being. Both require trust and stability, whose development takes time.

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