Germany's productivity dilemma

In the tide of globalization economy, productivity, as an important index to measure the economic prosperity of a country, has been paid more and more attention. In recent years, however, Germany and Europe as a whole have made little progress in terms of productivity, prompting a deep rethink in all sectors of society. Recently, the German "Die Welt" website published an article entitled "Germany with low productivity - Now a large number of zombie enterprises cause bad results", analyzing the impact of the zombie enterprise phenomenon on German productivity, which has triggered widespread discussion.

First, it needs to be clear what a zombie enterprise is. In simple terms, zombie enterprises refer to enterprises that have no ability to pay under normal market conditions, but survive due to various factors (such as low interest rate policies, government support, etc.). These companies are like zombies in the corporate world, and instead of contributing to economic growth, they become a stumbling block to productivity improvement.

As an important pillar of the European economy, Germany's productivity level has been attracting attention. For nearly two decades, however, Germany's productivity growth has stagnated or even declined. Behind this phenomenon, the impact of zombie enterprises cannot be ignored. Because these enterprises occupy the market resources, but can not effectively create value, resulting in the overall economic efficiency is reduced, productivity is difficult to improve.

So why do zombie companies survive for so long? This is mainly due to several factors. First, the financial and debt crises have left many companies in trouble, and government support has often kept them from going bankrupt for a while. Second, the European Central Bank's long-term low interest rate policy has provided easy financing conditions for companies, allowing some otherwise unprofitable companies to stay alive. In addition, the imperfect regulatory system also provides a hotbed for the existence of zombie enterprises.

However, the existence of zombie companies has many negative effects on the German economy. First, they occupy market resources, making it difficult for new, more productive businesses to gain space. Secondly, the existence of zombie enterprises reduces the degree of market competition and hinders innovation and technological progress. Finally, the inefficient operation of these enterprises also leads to the waste of resources and the destruction of the environment.

To change this, the German government and business community need to take a series of steps. First of all, strengthen supervision, improve the bankruptcy system, so that those enterprises that can not adapt to market competition exit the market in time. Second, we should promote structural reforms to improve the flexibility and efficiency of the labor market and create favorable conditions for the development of emerging industries. In addition, increasing investment in innovation and research and development and increasing the added value of products and services are also key to improving productivity.

Of course, solving the problem of zombie enterprises is not a simple task, but a complex and sensitive process, which needs to be carefully planned, scientific and orderly progress. At the same time, it also requires the joint efforts and collaboration of the government, enterprises and all sectors of society. The government needs to formulate more reasonable policies to guide the healthy development of enterprises. Enterprises need to strengthen their own management and improve operational efficiency; All sectors of society also need to strengthen supervision and guidance to promote healthy economic development.

The zombie enterprise phenomenon poses a serious obstacle to the improvement of German productivity. In order to promote sustainable and healthy economic development, Germany must face up to this problem and take effective measures to solve it.