The year 1968

Once again, the global economy was characterised by significant regional differences. A sound economy characterised the economic situation in Japan, Germany, France, Sweden and the Benelux countries as well, while the economy in the USA expanded in the first half of the year only then to fall away in the second six months. Nevertheless, most industrialised countries achieved respectable growth in production and productivity, with industrial production rising most strongly in Japan (+17.5 percent). The next rungs on the ladder were occupied by the Federal Republic (+11.7 percent), the Netherlands (10.9 percent), Italy (+6.3 percent), Belgium (+6.2 percent), Sweden (+5.4 percent) and Canada (+5 percent).

The Federal Republic did not take long to put the economic crisis of 1966/67 behind it, embarking on a path for growth which was to last for the next five years. Gross national product in real terms shot upwards, with growth of 6.6 percent after having recorded a negative figure the previous year (for the first time in its history), capital investments increased again by 12.1 percent (a value not achieved since 1955) and domestic demand picked up and filled industrial order books, with industry increasing overall sales by 14.5 percent. Corporate profits were 16.8 percent higher than in 1967 and private consumption also increased by 5.4 percent. Production output per employee rose by 15.2 percent in the chemicals industry, which increased its net sales slightly from DM 9.9 to DM 10.3 billion, and by 4.7 percent in mechanical engineering, which came close to stagnation in terms of net sales (1967: DM 10.7 billion; 1968: DM 10.4 billion).