The rule of law and market economy in the Federal Republic of Germany

The monograph is devoted to the analysis of the evolution of the German model of capitalism and Germany's place in European integration in the context of the historical path taken by the Federal Republic of Germany from 1949 to the present day. In political and legal terms Germany is now based on the concept of the rule of law and in economic terms - on its own model of a functioning market economy. The econometric analysis was carried out mainly using an endogenous Caldorov-type growth model covering the 70 years between 1950 and 2020. This general or world model with an embedded mechanism of technological progress which takes into account both physical and human capital along with time as the event space of creative economic activity was developed by Prof. György Šimon Sr. on the basis of data from 131 countries. The statistical data of the Federal Republic of Germany played one of the key roles in its construction. Special attention is paid to the emergence and disappearance of the phenomenon of the German economic miracle which are explained primarily as a consequence of the equipment of workers with physical capital and relevant inhibiting effects.