Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/50859 
Year of Publication: 
2004
Series/Report no.: 
KOF Working Papers No. 87
Publisher: 
ETH Zurich, KOF Swiss Economic Institute, Zurich
Abstract: 
The former German chancellor Helmut Schmidt holds that despite the huge transfers from West to East Germany the East German economy does not take off as it was widely expected. We argue it is not despite these transfers but because of them. Building on the common features of the extension of the Federal Republic of Germany in 1990 and the enlargement of the EU, we argue that the German unification experience holds some lessons to the benefit of both, the EU-15 and the accession countries.
Subjects: 
EU enlargement
German Unification
transfers
fiscal policy
JEL: 
P27
P35
E61
E62
Document Type: 
Working Paper

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