Catherwood LibraryILR School

Unemployment in Germany, the largest economy in Europe, has begun to rise after nearly three years, four years not including a few months in 2006 that came after benefits restructuring. Unemployment rose 18,000 last month, in the face of significantly lower predictions. The jobless rate at the end of 2008 was 7.6%. Germany hit recession halfway through 2008, and the rise in unemployment is largely attributed to decreased foreign demand for its goods. The government has pledged 31 billion euros to stiumlate the economy. Economists note that the government assistance may represent a crucial point for unemployment rates. Others expect that unemployment will continue to rise for quite some time.