Financial Times FT.com

Company prowess 'hurts Germany'

By Bertrand Benoit in Berlin

Published: May 31 2006 03:00 | Last updated: May 31 2006 03:00

German companies' rising competitiveness over the past decade has contributed to the country's economic weakness, the Organisation for Economic Co-operation and Development said yesterday.

In its first survey of Germany since 2004, the organisation said wage moderation, not productivity gains, had been the main factor behind its industry's growing global market share and had weakened demand and economic growth at home.

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