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Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Comparing and Contrasting Agriculture in East and West
Germany – Historically and Today
By Allyson Chwee and Maddison SieckApril 22, 2008
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Introduction
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Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Objectives
Eastern and Western German Agriculture
1. Historical background
2. Current and future
3. Comparison to U.S.
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind
German Agriculture TodayPre-Reunification
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind German Agriculture Today
Pre-Reunification (pre-1990)
Division of Germany•German Democratic Republic (Deutsche Demokratische Republik) •Federal Republic of Germany (Bundesrepublik Deutschland)
Soviets Reform Farm Operations•Bodenreform•State farms (VEG)•Cooperatives (LPG)
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind German Agriculture Today
Pre-Reunification (pre-1990)
Problems in East German Agriculture•Productivity
•Technology•Yields
•Consumption levels•Poor Quality Standards•Livestock Pollution
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind German Agriculture Today
Pre-Reunification (pre-1990)
Subsidies in East and West•CAP in West•Price distortions in East
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind
German Agriculture TodayReunification of German Agriculture
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors BehindGerman Agriculture Today
Reunification (Oct. 3, 1990)
Issues for Successful Reunification of Agriculture
1. Alignment of prices
2. Reform markets
3. Increase standards
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors BehindGerman Agriculture Today
Reunification (Oct. 3, 1990)
Problems in East German Agriculture with Reunification:
1. Land appropriation• Treuhandanstelt (THA)
2. Markets and prices• Influx of western products
3. Farmers unrest• Preferment of collective farming• Lack of subsidies• Loss of jobs• Fears
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Historical Factors Behind
German Agriculture TodayPost Reunification
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Post Reunification
October 3, 1990
Goal: Transform Eastern Germany into a market economy.
-Temporary market boom followed by downfall and leveling off.
Historical Factors BehindGerman Agriculture Today
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Post Reunification
East German Industry Changes
-Modernization
-Re-Education
Historical Factors BehindGerman Agriculture Today
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Item East Germany West GermanyAgricultural GNP
($ billion)15.95 27.9
Agricultural GNP per rural
inhabitant ($)11,200 13,520
Land (million hectacres)
6.2 11.8
Labor (percent of work force)
10.8 4.2
Souces: Agricultural GNP
Comparing Agricultural Sectors (1989)
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
ProductionNumber of Farms
Production
More efficient production methods:
-Modern Machinery
-Technology Innovation
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Dividing Collectives
Cooperatives Partnerships
Family FarmsJoint-stock Companies
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Current German AgricultureEast Germany
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Current German Agriculture
Eastern Germany
Remnants of Collectivism•Farm Size•Rented land from THA•Remaining land disputes
Future•Comparison to western Germany•Number employed•Biodiesel
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
East German States
Mecklenburg-Vorpommern
Brandenburg
Sachsen-Anhalt
Thuringen
Sachsen
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Current German AgricultureWestern Germany
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Western Germany
- Industrialization Farms
- Surpluses
Current German Agriculture
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Comparing German and United States Agriculture
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
United States Climate
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
German Climate
Temperate
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
United States Farms
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
German Agriculture
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
CAP vs US Farm Bill
Farm Bill (Agricultural Adjustment Act) 1933-subsidies to reduce crops
CAP 1962-increase ag productivity-ensure fair standard for living for farmers-stabalize marketsGuarantee regular food supplies
Comparing and Contrasting Agriculture in East and West GermanyAllyson Chwee and Maddison Sieck
Fragen?