Who has really paid for the Reconstruction of East Germany? Expected and Realized Returns on Real Estate Investments in East and West Germany in the 1990s

We evaluate the profitability of investments in residential property in Germany after unification with a focus on the comparison of East and West Germany. Calculations are carried out for (1) the after-tax return an investor might have expected at the beginning of the 1990s, and (2) the after-tax return that has been realized ten years after. We compare a set of statistical data for investments in fifty major cities by using complete financial budgeting. The results show that tax subsidies could not always protect investors from losing money, but they have boosted realized returns after tax considerably. Therefore, it was indeed the taxpayers, not the investors, who have borne the cost of reconstructing East Germany.

Decentralisation and Social Services in England

Although Great Britain is not normally credited with the achievement of having been the first nation state to implement measures characteristic of a welfare state (this honour goes to Germany and Bismarck's strategy of promoting social insurance in the 1880s) it nevertheless pioneered many models of welfare services in view of the early onset of industrialisation in that country and the subsequent social problems it created. Organisations like the Mutual Insurance and Friendly Societies, the Charity Organisation Society or the Settlement Movement characterised an early approach to welfare that is based on initiatives at the civil society level and express a sense of self-help or of self-organisation in such a way that it did not involve the state directly. The state, traditionally, dealt with matters of discipline and public order, and for this reason institutions like prisons and workhouses represented the other end of the scale of 'welfare' provisions.

Comparative Analyses of Child and Youth Services in Europe

This paper contains a comparative evaluation of the reactions of welfare states to the isomorphic pressures emanating from the European Union based on two case studies taken from the Child and Youth Welfare System. In the European Community different concepts of welfare policy exist. In the unification process every member state has to find answers to the pressure of assimilation invoked by the legislation. The objective of this explorative study is to show that countries can learn from each other in order to improve their own system of social services.