Who is really driving Germany's growth comeback?

Germany's economy grew 0.4% in the first quarter, 0.3% in the second, and 0.2% in the third. Economists had feared a summer stall from low Rhine water, yet growth beat expectations.

Consumers kept it going. KfW's Dirk Schumacher said: Private consumption was the growth driver in the summer quarter. Higher energy prices have not spoiled households' mood to spend.

Investment fell and exports slowed. Analysts point to the state as the real engine. Berlin approved a €500 billion infrastructure fund last year and exempted much defence spending from the debt brake. Bethmann HAL's Alexander Krueger says output would probably have stagnated without this push. Commerzbank's Jörg Krämer warns a lack of reforms will keep private investment from recovering.