The ZEW´s macro-econometric model for Germany (Mannheim Macroeconometric Model) facilitates, on the basis of the neo-Keynesian theory, the analysis of economic processes and the classification of specific rationing schemes (regimes) on the labour and commodity market. One advantage of this model is its micro-funding. Moreover, it avoids a general focus either on supply-oriented or demand-oriented policy, as is the case in present empirical models. The model comprises the aggregative labour and commodity market, the state sector, the credit market, and a central bank equation. Its purpose is the implementation and evaluation of simulations that are relevant for economic policy. Until recently, this model encompassed only the West German economy. Modelling the transition from the West German economy to the economy for Germany as a whole that took place in the wake of reunification is thus a special focal point of research. Prior to this project, spillovers and feedback effects on the European markets were modelled. At present, our research activities focus on the refinement of the labour market via the integration of heterogeneous labour by qualification. Microeconometric models and their estimation results on labour supply are linked to and integrated into the aggregate model. The economic policy simulations of this model, for example, effects of a recession in the USA on German labour market, are published in regular intervals.