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Studio Guest: Gerhard Bosch, labor market expert
Studio Guest: Gerhard Bosch,  labor market expert
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Studio Guest: Gerhard Bosch, labor market expert
Gerhard Bosch is professor for sociology at the University of Duisburg-Essen and Head of the Institute for Work, Skills and Training.DW-TV: What’s your take on Kramski's solution: high-end golf clubs instead of spare parts for the car industry. Is this a way to survive the current crisis? Gerhard Bosch: I think there are enough producers for golf clubs, it's a small market. But what is important is that you have to be innovative and to have new ideas to invent new products and this is one of the strengths of the German machine building industry. 75 percent of the German companies in this industry sell products that they developed last year. So they are very innovative more than the other industries in Europe.   DW-TV: Still they do have to deal with one of the worst crises in the last eighty, ninety years. The engineering sector experienced a huge slump in orders since June 2008, which hit its lowest point so far in April 2009 with a 58% drop in orders. Over the same period, German exports have also slowed significantly and the engineering sector is largely dependent on exports. So the question is as long as global demand remains sluggish, how can the engineering sector get back on its feet? Gerhard Bosch: It will never get back on its feet if the global economy is so sluggish. The German machine-building industry is dependent on sound economic development in the world especially in those countries who are demanding German investment goods, like China, India, South America, but also the United States of course. DW-TV: So is it healthy to be that dependent on exports, is there no other way round it? Gerhard Bosch: I think there are no ways around it for this industry because this industry is highly specialized so they have to find niches in the world market, but what's true is that the German economy as a whole is too dependent on exports. We have to develop our internal demand for consumption for example. Our wages didn't increase sufficiently ...
Channel: Deutsche Welle
Category: Business
Video Length: 186
Date Found: December 09, 2009
Date Produced:
View Count: 0
 
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