Abstract

Globalisation is often argued to erode differences between national varieties of capitalism and enforce convergence. This article takes up the debate - triggered by declining economic performance - about the viability of the » German model « of a co-ordinated market economy, systematising and summarizing the arguments about its alleged seminal transformation over the last decade. It goes on to identify a number of flaws in the respective literatme and questions whether the case for fundamental change taking place in Germany has really been made in a Iasting and convincing way. In addition it points to significant elements of continuity in areas such as industrial relations and emphasizes the importance of political decisions in determining the fate of national economic models.