Germany: Germany is rich and prosperous. But its young people wonder how long that can last.

Germany is one of the richest countries in Europe, churning out high-quality goods that the whole world wants to buy. If you visited, you would see signs of Germany's wealth almost everywhere: new cars, neat houses, and efficient public transportation.

But if you stopped and talked with people, you might be surprised by what you hear. Most Germans think their country is going through a crisis. Few people are optimistic (hopeful) about the future.

For almost 45 years, Germany was divided into democratic West Germany and Communist East Germany (see maps, p. 11). The two countries competed in giving generous social benefits to their citizens. Germans came to expect that the government would provide them with a free college education, unemployment benefits, and old-age pensions.

When the two countries reunited in 1990, West Germany was thriving. Its free-market economy had prospered in a world dominated by the rich industrial countries. East Germany was poor by contrast, and had suffered in its Communist isolation. Now, in today's global economy, rich countries are losing factories, jobs, and capital (money) to poorer nations, where labor costs are low. German business leaders say that if the government does not cut taxes and benefits, the country will not be able to compete globally. Chancellor Gerhard Schroeder is struggling to reform (change) the economic system.

A Future of Uncertainty

What will these changes mean to young Germans? Deniz (de-NEEZ) Kaiser and Erika Balz (bahlts) are both 15 and live with their families in Berlin, Germany's capital. Their parents are worried about their children's future.

"People don't have the same opportunities as before," says Deniz's mother. She is concerned about what Deniz will do when he graduates from high school next year.

Deniz is only in ninth grade. But in Germany, kids have to make big decisions very early. At the age when American teens are just entering middle school, young Germans must choose between a college-prep school and a high school that ends at the 10th grade.

In theory, after 10th grade, Deniz would then complete a three-year apprenticeship--on-the-job training that would prepare him to be a carpenter, plumber, or other skilled worker. The problem is that there is a shortage of both apprenticeships and jobs. Deniz knows that all too well--his stepfather is unemployed. "I'm leaving everything open," Deniz says. "I haven't set myself any concrete goals."

Erika, who attends a college-prep high school, has a little more time to decide. She plans to continue her education after graduation. In Germany, as in other European countries, most universities are public and virtually free.

But that may change. There are proposals to start charging tuition since many universities are strapped for cash. Erika and her parents oppose the idea.

"I think it's stupid if only people who can pay go to college," says Erika. Her father agrees. "We must give everyone the opportunity to go to college," he says.

Germans strongly believe in fairness. They also believe that decisions which affect society should be made by common agreement--and not by conflict.

There are historical reasons for these beliefs. Germany's defeat in World War I (1914-1918) led to the nation's first democratic government. But this democracy was weak because political parties spent their energy competing for power. Adolf Hitler and his racist Nazi Party took advantage of the situation to seize control of the government.

In his drive to rule Europe, Hitler started World War II (1939-1945), which killed millions of people. After Germany was defeated, the Allies (the U.S., Soviet Union, Britain, and France) divided Germany--and the city of Berlin--into a democratic West and a Communist East. Germany remained divided until Communism collapsed in the East in 1990.

The New Europe

Today, Germany is at the center of a new Europe. The nation has close ties with all its neighbors and is a leading member of the European Union (EU). The EU, a group of countries that cooperate economically and politically, will expand from 15 members to 25 on May 1.

Many Germans think their nation is paying too much to help poorer EU countries. And many people, like Erika's dad, are afraid that the EU is growing too fast. He believes German businesses and jobs will move to Poland or the Czech Republic, where everything is much cheaper.

One way to keep Germany competitive, say some political leaders, is to slash the costs that businesses pay for unemployment insurance and other employee benefits. The government is also considering raising the retirement age and cutting pensions.

Deniz's and Erika's parents are outraged about the planned reforms. "I'm lucky because I'll still get something out of the system," says Erika's father, who is 52 and works for a large telecommunications company. "The kids will not be able to count on the government. It will be a heavy financial burden for them."

Deniz's mom, who is 40 and works for a labor union, complains that only rich people will enjoy an easy retirement. "I worry about it, but I don't have the means to pay into a private pension fund," she says.

Change will come whether people like it or not. Germany, like other European countries, has such a low birthrate that its population is actually shrinking. Today, every senior citizen is supported by the pension contributions of about four workers. But in 2040, there will be only two workers per senior.

Some experts say the solution is to encourage young foreign workers to immigrate to Germany. But some Germans do not welcome immigrants. In recent years, violence against foreigners in some areas of Germany has raised concern.

Changing Face of Germany

Nevertheless, Germany's wealth and freedom have attracted foreigners for decades, slowly changing the face of German society.

Deniz and Erika are perfect examples of that change. Deniz's dad is Turkish; Erika's mother is from the Philippines.

"Many Germans would say Berlin is becoming foreign," says Erika's dad. But he enjoys the city's international feel.

In both households, German and foreign cultures are so mixed that the families can hardly distinguish (tell the difference) between them anymore.

Erika often visits family in the Philippines. "When I'm over there, I feel as comfortable as in Berlin," she says.

Both Deniz and Erika have grown up bilingual (speaking more than one language) and, like most young Germans, have been learning English since the fifth grade.

Erika practiced her language skills when her family vacationed in Arizona and California. She also finds English useful when surfing the Internet.

Ever since the U.S. Army occupied West Germany in 1945, many young Germans have been influenced by American culture. Erika plays on a basketball team. And Deniz thinks up his own raps--in German.

Now even the economy will become more American, many Germans fear, with fewer social benefits and less government involvement.

"I think living standards will be lower," says Erika's dad. "There will be more crime and poverty. Things won't be as good as they have been."

Deniz's mother agrees. "I see the future rather negatively," she says. "But I'm not a pessimist, because I believe in people."

Your Turn

WORD MATCH

1. optimistic      A. training
2. capital         B. hopeful
3. reform          C. tell the
                      difference
4. apprenticeship  D. change
5. distinguish     E. money

THINK ABOUT IT

1. Why is Germany's government considering cutbacks in education and other benefits?

2. What social benefits should a government provide for its people? Explain.

OBJECTIVE

Students should understand

* Germany has undergone great social, political, and economic changes since 1990.

TEACHING STRATEGY

Help students locate Germany on a map or globe. Promote a classroom discussion by asking: "What do you know about Germany? What products are imported from Germany?"

BACKGROUND

Last month, Germany's Economy Minister projected that the national economy would grow by 2 percent in 2004 and that the number of unemployed Germans would decrease by 100,000 by late summer. The most recent government data showed that about 4 million Germans, or 10.4 percent of the population, were unemployed in December 2003.

THINKING SKILLS

CAUSE AND EFFECT: How do some Germans feel about their country being a member of the European Union (EU)? (Some believe their nation is contributing too much economic support to the poorer EU members. This resentment has grown as the German government considers cutting some worker benefits and other popular social programs.)

COMPREHENSION: What changes did Germany undergo after World War I until 1990? (Germany's failure to create a strong democratic government after World War I led to the rise of Adolph Hitler and the Nazi Parry. Hitler started World War II, causing great human ,and economic losses in Europe. For this, Germany has suffered from guilt and humiliation. After 1945, Germany was divided into two different countries, and the two halves were bitter political rivals until reunifying in 1990.)

ACTIVITY

IMMIGRATION: Instruct students to write a paper describing the impact im migrants and foreign workers might have on the economy; politics, and culture of the local community or state.

STANDARDS

SOCIAL STUDIES, GRADES 5-8

* Power, authority, and governance: How Germany's government attempts to stimulate economic growth and preserve many popular social programs despite a lack of funds.

* People, places, and environment: How many Germans do not feel optimistic about their nation's future and the prospect of allowing more immigrants into the nation.

RESOURCES

PRINT

* Gray, Susan Heinrichs, Germany (Scholastic, 2003). Grades 5-8.

* Davis, Kevin, Look What Came From Germany (Scholastic, 2000). Grades 5-6.

WEB SITES

* Germany http://www.germany-info.org/ relaunch/index.html

* Berlin Wall www.newseum.org/berlinwall/ American History The Great War, pp. 12-14