International Business

Smaller Drop in German Output Seen: Manufacturing output in Germany’s western sector is likely to fall about 6% in 1993, said the DIW economic research institute in its latest weekly report. This contrasts with a more pessimistic forecast of a 7.5% decline by the Ifo institute in its monthly report, which was released last week. DIW said it expects production of cars to be about 20% lower this year than in 1992, while makers of electrical household appliances will cut output by about 10% this year. The capital goods sector is expected to show the most improvement because domestic demand has stabilized and foreign demand has risen sharply since the beginning of this year.