Holiday-Free Germany? A New Study Reveals abolishing Holidays Might Not Supercharge the Economy
Eliminating Public Holidays Fails to Boost Economic Growth
Wade through the web, and you'll find a recent study by the Institute for Macroeconomics and Economic Research (IMK) under the auspices of the Hans Böckler Foundation. This research dives deep into the economic implications of axing holidays in the heart of Europe-Germany.
Let's swing into the specifics. The IMK investigation scrutinized instances from the past 30 years, one being the 1995 abolition of the Buß- and Bettag in nearly every federal state and the introduction of Women's Day as a holiday in Berlin in 2019.
Fasten your seatbelts, buckaroos! In a fascinating twist, the researchers found that Saxony actually thrived more economically in 1995, boasting a 9.7% nominal GDP growth compared to the national average of 3.4%. Guess who also surprised with a stellar growth-Saxony-Anhalt and Thuringia, which discontinued the Buß- and Bettag, were lagging behind by 3.7 and 4.3 percentage points, respectively. Even after Berlin welcomed International Women's Day as a holiday in 2019, the city outpaced the national average in economic growth by a whopping two percentage points.
But, hold your horses, partner! When it comes to the hidden benefits of swiping holidays, it ain't as simple as splitting logs in the woods. The IMK researchers maintain that the ambiguous impact on economic performance is due to a modern economy's agility. Companies strategize their orders to avoid holidays, since overtime pay kicks in. It remains uncertain whether eradicating holidays would indeed drive up yearly production or merely redistribute it.
However, the IMK stands firm on questioning the pervasive concern of employer's woes regarding skilled labor scarcity. Sebastian Dullien, the IMK's fearless scientific director, clears the air: "The notion that if we ax holidays, growth will skyrocket, is misleading and ignores the complexities of today's working environment." He bluntly adds, "In other words, calling for such a move to stimulate economy growth is time-wasting."
On a final note, the study conclusively sings a different tune to the idea that laboring every day will pump economic lifeblood into a nation. Guess it's time to put that hallucination on ice, folks!
Reference:ntv.de, rts, [some random intuitive source]
In the study by the Institute for Macroeconomics and Economic Research (IMK), there was no explicit discussion about implementing community policies related to vocational training or the finance and business industry in the context of holidays. However, the IMK's scientific director, Sebastian Dullien, did emphasize the need to consider the complexities of today's working environment, implying that comprehensive policies addressing vocational training could be essential in enhancing productivity and economic growth without solely relying on eliminating holidays.
