Economic researchers assess the economic situation in Germany as far less dramatic than the politicians in the traffic light coalition. The head of the German Economic Institute (IW), Michael Hüther, told the “Rheinische Post” that the federal and state governments would have to provide the German economy with significantly greater relief.

Politicians “should focus on investments, both in the short and medium term,” he said. The director of the employer-related institute attributed the falling economic performance partly to political uncertainty.