Mexican Media Brands
Germany Narrowly Avoids Recession
The German economy, which shrank by 0.2% in the third quarter of 2018, posted zero growth in October-December, according to government data.
#economics
Share
The German economy, which shrank by 0.2% in the third quarter of 2018, posted zero growth in October-December, according to government data.
The fourth-quarter result allowed Germany to avoid slipping into recession, which is typically defined as two consecutive quarters of economic contraction. But some analysts predict the country’s fourth-quarter figure will be revised downward when additional data becomes available.
Germany’s slump in the second half of the year dented growth of 0.4% in the first quarter and 0.5% in the second period. Full-year adjusted growth was 1.5%, compared with 2.5% in 2017, the Federal Statistical Office says.
The government blames the downturn in exports and subdued growth in domestic consumer spending. Business investment in the country also has slowed. The threat of U.S. tariffs on imported German cars, coupled with fourth-quarter sales disruptions caused by the auto industry’s switch to tougher WLTP emission testing, also contributed.
RELATED CONTENT
-
Report Forecasts Huge Economic Upside for Self-Driving EVs
Widespread adoption of autonomous electric vehicles could provide $800 billion in annual social and economic benefits in the U.S. by 2050, according to a new report.
-
On Headlights, Tesla's Autopilot, VW's Electric Activities and More
Seeing better when driving at night, understanding the limits of “Autopilot,” Volkswagen’s electric activities, and more.
-
Ford’s $42 Billion Cash Cow
F-Series pickups generate about 30% of the carmaker’s revenue. The tally is about twice as much as what McDonald’s pulls in.