Business Cycles in Post-Reunified Germany: Closer Together or Further Apart?

Alexandra Lopes () and Tiago Sequeira

No ercwp0410, Working Papers Series 1 from ISCTE-IUL, Business Research Unit (BRU-IUL)

Abstract: In this article we document the features of business cycles in German Länders from 1970 and 2007. Specifically, we answer the question if German Länders are becoming more synchronized or not. All results indicate that the synchronization of cycles is stronger inside the former Western Germany and inside the former Eastern Germany. The reunification process has had a strong influence in terms of business cycle association. However, a process of cyclical convergence has begun, although slowly, after the reunification.

Keywords: Business Cycle Association; Synchronization; and Convergence; Germany Reunification. (search for similar items in EconPapers)
JEL-codes: C14 C65 E32 F33 O52 (search for similar items in EconPapers)
Pages: 21 pages
Date: 2010-06-15
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