Dwindling Exports Push German Unemployment Higher
Germany's unemployment rose again and now has been up for eight consecutive months. Once again, evidence points to Germany's inability to isolate itself from the European recession. Germany has been unable to make up a drop in exports to its neighbors with exports to other large economies like the United States and China. Some economists worry that German gross domestic product may not grow at all next year.
The number of people out of work grew by 5,000 in November to 2.94 million, according to data released by the Federal Labor Agency. The jobless rate stayed at October levels, or 6.9%.
Bloomberg reports:
"It is doubtful whether private consumption can really take over the baton as the main growth driver for the German economy," said Carsten Brzeski, an economist at ING Group in Brussels. "German unemployment looks set to increase further. This increase, however, should only be very mild, mainly located in the export industry."
Douglas A. McIntyre
Filed under: 24/7 Wall St. Wire, International Markets
