Austria has a well-developed social Market Economy with a High standard of Living and close ties to Other EU economies, especially Germany's
Since two thousand and six, "Grand Coalition" governments have not reversed privatizations but have also not undertaken further Privatization measures.
The International Financial Crisis. and global economic downturn in 2008 led to a deep recession that persisted until the third quarter of 2009. Austrian GDP contracted by 3.9% in 2009, partially recovering in 2010 with growth of 2.1%. The unemployment
rate of 4.4% was the lowest in 2010th in the EU-27 (EU-27 average: 9.6%). Crisis measures and an income tax reform pushed the budget deficit from about 0.4% of GDP before the financial crisis to 4.6% of GDP in 2010. The consolidated public sector debt rose from 62.5% of GDP in 2008 to 72.3% in 2010, due primarily. to new methods of accounting for publicly-guaranteed debt. The government's 2012-2015 medium-term budget framework stipulates legally binding spending limits to reduce the total public sector deficit from about 3.9% of GDP in 2011 to 2.0% of GDP in 2015. Organization for Economic Cooperation and Development (OECD) and International Monetary. Fund (IMF) Experts have Called for structural reforms in areas such as Sustainability of Pensions, ensuring long-term Care for Austria's aging population, restructuring Public Sector salaries, streamlining Administration, and Improving the K-12 and University Education Systems.
A the 2,006th Scandal. involving an OGB-owned bank caused the OGB to lose much of its political influence and it is still trying to recover.
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