German stimulus plan ranked world’s best

Germany has implemented the best economic stimulus package in the world, according to a new study released by Manager Magazin on Friday.

German stimulus plan ranked world's best
Photo: DPA

In an analysis of the ten most important industrial economies, Boston Consulting Group found that while Germany only spent a moderate sum compared to other nations, its stimulus package details put Berlin in the best position to excite the economy in the short term.

The study named the Abwrackprämie, a “car scrapping premium” paying €2,500 ($3,500) to those junking a car at least nine years old for a new one, as a key success in the post-crisis stimulus plan.

The study also considered whether stimulus packages avoided protectionist elements, and whether investments in long term growth in areas like research and education were included. Germany came out ahead in these areas, leading to the overall top ranking, Manager Magazin reported.

The US and China followed in the second and third for the BCG study, released in full in the magazine’s Friday print edition.

Member comments

Log in here to leave a comment.
Become a Member to leave a comment.


‘We agree to disagree’: Still no progress in marathon SAS strike talks

By lunchtime on Friday, talks between the Scandinavian airline SAS and unions representing striking pilots were still stuck on "difficult issues".

'We agree to disagree': Still no progress in marathon SAS strike talks

“We agree that we disagree,” Roger Klokset, from the Norwegian pilots’ union, said at lunchtime outside the headquarters of the Confederation of Swedish Enterprise in Stockholm, where talks are taking place. “We are still working to find a solution, and so long as there is still some point in continuing negotiations, we will do that.” 

Mats Ruland, a mediator for the Norwegian government, said that there were “still several difficult issues which need to be solved”. 

At 1pm on Friday, the two sides took a short break from the talks for lunch, after starting at 9am. On Thursday, they negotiated for 15 hours, breaking off at 1am on Friday morning. 

READ ALSO: What’s the latest on the SAS plane strike?

Marianne Hernæs, SAS’s negotiator on Friday told journalists she was tired after sitting at the negotiating table long into the night. 

“We need to find a model where we can meet in the middle and which can ensure that we pull in the income that we are dependent on,” she said. 

Klokset said that there was “a good atmosphere” in the talks, and that the unions were sticking together to represent their members.

“I think we’ve been extremely flexible so far. It’s ‘out of this world’,’ said Henrik Thyregod, with the Danish pilots’ union. 

“This could have been solved back in December if SAS had not made unreasonable demands on the pilots,” Klokset added. 

The strike, which is now in its 12th day, has cost SAS up to 130m kronor a day, with 2,550 flights cancelled by Thursday, affecting 270,000 passengers.