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20 Years After: The Fall And Rise Of Socialism In East Germany

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  • Kristian Niemietz

Abstract

Twenty years after the fall of the Berlin Wall, public opinion in East Germany is dominated by a deep hostility towards free markets and an uncritical attitude towards state intervention. This article argues that the mistakes that have been made in the economic transformation of East Germany continue to have an effect to this day. Supporters of the free economy failed to explain why the grievances people faced were not caused by allegedly ‘unbridled’ markets, but by false policies. Hopefully, a future reunified Korea will avoid repeating these mistakes.

Suggested Citation

  • Kristian Niemietz, 2009. "20 Years After: The Fall And Rise Of Socialism In East Germany," Economic Affairs, Wiley Blackwell, vol. 29(2), pages 71-73, June.
    • Handle: RePEc:bla:ecaffa:v:29:y:2009:i:2:p:71-73
    DOI: 10.1111/j.1468-0270.2009.01899.x
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    References listed on IDEAS

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    1. Michael C. Burda, 2006. "Factor Reallocation in Eastern Germany after Reunification," American Economic Review, American Economic Association, vol. 96(2), pages 368-374, May.
    2. Sascha Wolff, 2007. "Prognosen zur Ost-West-Wanderung nach der deutschen Wiedervereinigung," Departmental Discussion Papers 132, University of Goettingen, Department of Economics.
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