It's one of the
world's largest economy.
And this country produces
more than
$3 trillion of goods
and services
it’s just behind the U.S.
China and Japan.
This place
has the most rich people
after the U.S.
and China
and its
economy is bigger
than the UK.
I'm talking about.
Germany.
This country
is the economic
engine of Europe.
Here is the birthplace
of some of the biggest
global companies
you and I see
all the time.
Like Mercedes Benz.
BMW, Hugo Boss,
Siemens,
the global software giant.
SAP and even T-Mobile.
So why is Germany
so rich and powerful?
This country has a
very open economy, ranked
as more open
and accessible
than the US, Japan
and the UK.
But let's go over three
main reasons
why Germany became
so rich and powerful.
Germans export high
quality products
globally and especially
to their neighbors.
See, in the U.S.,
you're used
to seeing Mercedes-Benz
as the luxury car.
But in
many countries, Mercedes
is also public busses.
Delivery trucks,
police cars and taxis.
Mercedes is worth more
than $25 billion.
But aside from
vehicles, Germany's
biggest exports
are actually machinery.
Germany is ranked among
the top countries
for its high
quality machinery
next to Korea and Japan,
and it exports
billions of dollars
worth of high
quality equipment.
That's used by companies
around the world.
The industries
with the most jobs
here are vehicle
construction
and engineering,
including electrical
and chemical engineering.
It was ranked
among the top
innovative nations
by the World
Economic Forum.
The nation is often
seen as a leader
within the EU
for its
innovation initiatives.
And it spends more than
3% of its GDP
on research
and development.
Unlike China or Japan
or even its European
neighbors, Germany
has relatively
open borders.
This country
actually likes immigrants
and foreigners
they not only
welcome them,
but they see them
as necessary
to help grow its economy.
Germany was ranked
12th in the OCED
when it comes
to share of immigrants
in its population.
Today, foreign
born people account
for 13% of its population.
And here in Berlin,
you have one of the most
diverse cities in Europe.
You hear so many
different languages
being spoken from English,
Spanish, Italian, Arabic.
And when it comes to food,
you have
pretty much everything.
At this intersection
alone, I see Turkish
I see Korean.
I see Mexican,
Italian, Thai,
and Vietnamese.
And IMF study found that
migrants into a country
has a net positive impact
on its economy,
including higher innovation
and a more
educated workforce.
So how did Germany get here?
Well, for centuries, Germany
was a center of European
politics and art.
Meanwhile, car making is deeply rooted
in Germany's history.
That actually became home
of the world's
largest automotive
company back in 1900.
And it's also believed
that its union culture
was kind of
what kept wages low.
This resulted
in relatively
lower product costs
and more
profitable exports,
which then
allows companies
to grow faster
and invest
more in research
and development.
Germany was enjoying
strong economic growth
until COVID happened
its economy
contracted largely
due to its factories
having to shut down
along with global supply
chain issues.
But despite
all its excesses
so far today, it's facing
major challenges.
While some economists
still predict
its economy will steadily grow
other say Germany's
economy is recovering
slower than expected
after COVID,
then slower
than other big countries.
And they blame
an aging workforce.
Russia's invasion of Ukraine
and even China's
slowing economy.
But can Germany
remain rich?
And one of the
most powerful countries
on our planet.
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