The task of vitalizing the east German economy was severely underestimated—by politicians as well as by both the academic and the business community. Despite all the encouraging signs in east Germany, which undeniably exist, the process will take more time, require more money, and need more east German commitment than had widely been expected. But will fiscal backing alone be enough to vitalize the east German economy? What are the tasks ahead? Are they being tackled in an adequate way?