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On the Way Out of the Financial Crisis: The Development of the Financial Situation of Berlin

Publication at Faculty of Mathematics and Physics, Faculty of Social Sciences |
2012

Abstract

The article presents a profile of economic development of Berlin since 1990 (which means from the unification of Germany) to the present, while chronologically prioritises the major events which significantly influenced the development of the financial situation of Berlin, including the cancellation of the federal financial aid (which was introduced in 1950, and meant almost 2 / 3 of the budget of Berlin), the incorporation of Berlin into the system of financial equalization of the German federál states (Bundesländer), declaration of extreme financial distress and its discussion in front of the Federal Constitutional Court. Particular attention is paid to last elections in Berlin in September 2011.