The recent chorus of complaints regarding labor shortages in Germany rings hollow to Nobel laureate Claudia Goldin, the renowned Harvard economist. In a recent interview with “Handelsblatt”, Goldin questioned the sincerity of industry’s pleas, arguing the issue frequently boils down to insufficient compensation. She posits that if employers are willing to offer competitive wages, particularly for women, the participation rate in the workforce would naturally increase. This assertion directly challenges the narrative often presented by German businesses struggling to fill open positions.
Goldin’s perspective emphasizes the economic incentive at play, suggesting that current wage structures fail to adequately value the contributions of working women. Her advice to young women aspiring to balance family and career presents a pragmatic, albeit potentially controversial, solution: “Marry a man who is willing to care for the children as much as you do”. This remark underscores the enduring reliance on equitable partnerships for women to thrive professionally.
While Sweden has traditionally been admired internationally for its supportive environment for working women, Goldin highlighted the progress made by Canada and France, suggesting Germany lags behind in creating a truly enabling climate. Her comments also implicitly question the effectiveness of current German policies designed to support working parents.
Goldin’s observations extended to the political sphere. Responding to criticism leveled against CDU leader Friedrich Merz for the perceived lack of female representation in his cabinet, she drew a sharp contrast with the United States. She pointed to the appointments made under former President Trump as a cautionary example, criticizing the superficial and homogenous nature of the selected women – characterized by “extremely long, unnatural eyelashes, plumped lips and long, flowing hair” – noting their pronouncements often lacked coherence. This critique subtly suggests that political representation goes beyond mere numerical quotas, emphasizing the importance of substance and genuine diversity.
Perhaps most puzzling to Goldin is Germany’s persistently low birth rate. She acknowledges the conflicting pressures at play: a strong societal expectation for mothers to dedicate significant time to childcare alongside substantial state support for families. This apparent contradiction should, according to economic principles, result in a higher birth rate compared to international benchmarks. Her observation raises questions regarding the effectiveness of social policies and the complex interplay between cultural norms and economic realities in shaping demographic trends within Germany.