ellee, refugee, trade unions, and veterans groups

International organization participation: AfDB, AsDB, Australia Group,
BDEAC, BIS, CBSS, CCC, CDB, CE, CERN, EAPC, EBRD, ECE, EIB, EMU, ESA, EU,
FAO, G- 5, G- 7, G- 8, G-10, IADB, IAEA, IBRD, ICAO, ICC, ICFTU, ICRM,
IDA, IEA, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, Interpol, IOC, IOM, ISO,
ITU, MONUC, NAM (guest), NATO, NEA, NSG, OAS (observer), OECD, OPCW, OSCE,
PCA, UN, UNCTAD, UNESCO, UNHCR, UNIDO, UNIKOM, UNMIBH, UNMIK, UNMOVIC,
UNOMIG, UPU, WADB (nonregional), WEU, WHO, WIPO, WMO, WToO, WTrO, ZC

Diplomatic representation in the US: Ambassador Wolfgang Friedrich
ISHINGER consulate(s): Detroit, Houston, Los Angeles, Miami, New York,
San Francisco FAX: [1] (202) 298-4249 telephone: [1] (202) 298-8140
chancery: 4645 Reservoir Road NW, Washington, DC 20007

Diplomatic representation from the US: chief of mission: Ambassador
Daniel R. COATS embassy: Neustaedtische Kirchstrasse 4-5, 10117 Berlin;
note - a new embassy will be built near the Brandenburg Gate in Berlin
mailing address: PSC 120, Box 1000, APO AE 09265 telephone: [49] (030)
8305-0 FAX: [49] (030) 238-6290 consulate(s) general: Duesseldorf,
Frankfurt am Main, Hamburg, Leipzig, Munich

Flag description: three equal horizontal bands of black (top), red,
and gold

Economy Germany

Economy - overview: Germany's affluent and technologically powerful
economy turned in a relatively weak performance throughout much of the
1990s. The modernization and integration of the eastern German economy
continues to be a costly long-term problem, with annual transfers
from west to east amounting to roughly $70 billion. Germany's ageing
population, combined with high unemployment, has pushed social security
outlays to a level exceeding contributions from workers. Structural
rigidities in the labor market - including strict regulations on
laying off workers and the setting of wages on a national basis -
have made unemployment a chronic problem. Business and income tax cuts
introduced in 2001 did not spare Germany from the impact of the downturn
in international trade, and domestic demand faltered as unemployment began
to rise. The government expects growth to gain pace in the second half of
2002, but to fall short of 1% for the year again. Corporate restructuring
and growing capital markets are setting the foundations that could allow
Germany to meet the long-term challenges of European economic integration
and globaliza