What's the medicine for a German recession?

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New figures suggest Germany could already be in recession as business activity contracted

for fourth-strict month in October.

Experts are labeling Europe's largest economy the sick man of Europe as the International

Monetary Fund expects the country to be the only advanced economy to shrink this year,

with a forecasted contraction of 3 tenths of a percent.

Now, obviously, the sick man of Europe is a label at European countries tried to avoid,

but nearly every major European country has held the title at some point in time.

The last time Germany had to deal with being dubbed the sick man was in the late 90s when

the country's growth was stagnant.

Here's Clemens Foost, who's president of the EFO Institute, an economic think tank

in Munich.

The German economy is still slightly below the 2019 level, that is the economic activity

before the crisis, compared to that, all other G7 countries are now above that level.

According to the EFO's Business Climate Index, businesses in Germany have a bleak outlook

towards the economy.

The reason, says Foost, is based on short-term and long-term indicators.

In the short-term...

Germany is very much affected by the Russian attack on Ukraine by rising energy prices.

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