section_path: Economy
section_name: Economy
paragraph_text: Economy
  
  Germany has a social market economy with a highly skilled labour force, a low level of corruption, and a high level of innovation. It is the world's third-largest exporter and third-largest importer, and has the largest economy in Europe, the world's third-largest economy by nominal GDP and the fifth-largest by PPP. Its GDP per capita measured in purchasing power standards amounts to 121% of the EU27 average. The service sector contributes approximately 69% of the total GDP, industry 31%, with Germany having the largest manufacturing sector in Europe, and agriculture 1% as of 2017. The unemployment rate published by Eurostat amounts to 3.2% as of January 2020, which is the fourth-lowest in the EU.
  
  Germany is part of the European single market which represents more than 450 million consumers. In 2017, the country accounted for 28% of the eurozone economy according to the International Monetary Fund. Germany introduced the common European currency, the euro, in 2002. Its monetary policy is set by the European Central Bank, which is headquartered in Frankfurt.
  
  The automotive industry in Germany is regarded as one of the most competitive and innovative in the world, and is the sixth-largest by production as of 2021. Germany is home to Volkswagen Group, the world's second-largest automotive manufacturer by vehicle production. Germany is the third-largest exporter of cars by number as of 2023.
  
  The top ten exports of Germany are vehicles, machinery, chemical goods, electronic products, electrical equipments, pharmaceuticals, transport equipments, basic metals, food products, and rubber and plastics.
  
  Of the world's 500 largest stock-market-listed companies measured by revenue in 2023, the Fortune Global 500, 32 are headquartered in Germany. 30 major Germany-based companies are included in the DAX, the German stock market index which is operated by Frankfurt Stock Exchange. Well-known international brands include Mercedes-Benz, BMW, Volkswagen, Audi, Porsche, Opel, Siemens, Allianz, Adidas, Puma, Hugo Boss, SAP SE, Bosch and Deutsche Telekom. Berlin is a hub for startup companies and has become the leading location for venture capital funded firms in the European Union. Germany is recognised for its large portion of specialised small and medium enterprises, known as the Mittelstand model. These companies represent 48% of the global market leaders in their segments, labelled hidden champions.
  
  Research and development efforts form an integral part of the German economy, with the country ranking fourth in research and development expenditure since 2005. In 2018, Germany ranked fourth globally in terms of number of science and engineering research papers published. Research institutions in Germany include the Max Planck Society, the Helmholtz Association, and the Fraunhofer Society and the Leibniz Association. Germany is the largest contributor to the European Space Agency. Germany was ranked 8th in the Global Innovation Index in 2023.