IfW in the News

German consumer prices 5 percent above EU average

23.06.2018

Stefan Kooths predicts, that German consumer prices continue to rise.

Excerpt from the Article

(...) Speaking to Xinhua on Friday, Stefan Kooths at Kiel Institute for the World Economy predicted that German consumer prices would rise by "around two percent" in the course of 2018 as well as 2019.

"This is due to the strong economy. Demand for production capacities in many areas is far above average, for example in the construction industry, which is driving up prices," Kooths said.

Referring to a series of tax cuts and increases in benefits that the German government is planning, Kooths expects "good situation on the labor market where employees can expect strong wage increases".

Complete article

Expert