A dip in GNP seen for West Germany

July 7, 1981

In its survey of the West German economy, the Organization for Economic Cooperation and Development forecast that gross national product would decline 1 .5 percent this year after growth of 1.8 percent in 1980, but would swing back to growth of 2 percent next year. Despite this, unemployment, which in 1980 stood at 3.5 percent, will likely rise to 4.75 percent this year and 5.75 percent in 1982.

The OECD said the labor force is growing, and the return to growth will likely be accompanied by increased productivity, thus creating fe wer new jobs than might be expected.