The redeployment of the German economy which followed upon the adjustment of the institutional framework may be considered under three heads: growth, internal balance, and international integration. These were the three tasks that the German economy had to master.
New economic growth after 1928 and 1948 began by making up for deficiencies and gradually turned into a vigorous advance of economic performance. It was impelled by the spontaneous assertions of entreprise, workmanship, and eagerness to work for which the German people have justly become famous. It was also induced by the increase in population. This increase was more rapid in the second recovery, on account of the heavy influx of refugees. Economic growth, finally, was assisted by prosperity in the world economy.
There has been much debate as to whether the great refugee immigration after 1945 was a burden or a gain to the German economy. Most likely the balance shifted from burden to gain as nomadism, sweated labor and the dole gave way to settlement and regular employment; but the cost of this forced population movement, like that of others in our time, was heavy in terms of human suffering, only imperfectly relieved by measures of redistribution.
The first economic effect of each of the successive waves of immigration was, of course, a rise in the number of people to be fed, clad and housed. But as time passed it became obvious