Author Question: Germany fared better than most European Union member states after the recession of 2007 and 2008 ... (Read 38 times)

lindiwe · **on:** Jul 8, 2018

Germany fared better than most European Union member

states after the recession of 2007 and 2008 because:
a. via market-friendly policies, the national government set the nation on the course to becoming an economic market democracy.
b. the nation was well-positioned to engage in expansionary stimulus policies, given earlier welfare state cuts and wage restraint.
c. the erosion of the social market economy was already on its way to revival.
d. the government spent the little extra money it had on job retraining and subsidies.

Question 2

Germany's social market economy was, in addition to high

wages and benefits, notable for its:
a. reliance on consensus and coordination among employers, unions, banks and other interests.
b. reliance upon extensive state intervention in pricing and production schedules.
c. reliance upon nationalized industry.
d. reliance on the stock market to provide investment capital to firms that need it.