ASSESSMENTS

Moves Toward Green Energy Hamper Germany's Economy

Feb 1, 2015 | 14:12 GMT

Wind turbines stand behind a solar power park on Oct. 30, 2013, near Werder, Germany.
Wind turbines stand behind a solar power park on Oct. 30, 2013, near Werder, Germany.

(Sean Gallup/Getty Images)

Summary

Germany is experiencing deflation for the first time since 2009. Though other factors have certainly contributed to the economic decline, Germany's transition from coal and nuclear energy to renewable energy sources is partly responsible. The transition has been costly, with industries and consumers paying the bulk of the price. However, the financial burden of shifting to renewables will not last forever.

The German economy took a hit when renewable energy sources began gaining popularity....

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