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Germany’s improvement has largely started during Gerhard Schröder’s two mandates, symbolized by the Hartz IV laws and the implementation in 2003 of the Agenda 2010. The decisions of Merkel’s government remain faithful to the Agenda2010, with however an accent on budgetary and financial consolidation, and in favor of growth and innovation potential. The success is evident, but still depends on numerous internal and external hazards.René Lasserre, Professor and Head of the Centre d’information et de recherche sur l’Allemagne contemporaine (CIRAC), teaches at the University of Cergy-Pontoise.