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Turning Germany’s ‘bad’ trade surplus into a good experience for all

Geoff Riley

22nd June 2017

This article evaluates the causes of Germany's large external trade surplus and considers ways in which Germany might adjust their trade position for example by increasing infrastructure spending to help support aggregate demand and growth in the European Union.

"In 2016, Germany ran a current account surplus of more than €260 billion, or 8.6% of GDP. In dollar terms, that is the largest in the world, bigger than China’s – and well above the EU’s 6% ceiling

Geoff Riley

Geoff Riley FRSA has been teaching Economics for over thirty years. He has over twenty years experience as Head of Economics at leading schools. He writes extensively and is a contributor and presenter on CPD conferences in the UK and overseas.

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