Supplier networks in the German aircraft industry during World War II and their long-term effects on West Germany's automobile industry during the ‘Wirtschaftswunder’.

Reconstructing the complex supplier network of the famous JU 88 air armament programme, this article shows that outsourcing activities increased considerably in wartime Germany. The resulting inter-firm division of labour did not lead only to a quite effective protection of the German aircraft production against Allied air raids but also contributed to enormous labour productivity growth in most stages of the production process. Even though aircraft production was prohibited in post-war Germany, this supplier network survived and became the backbone of the most spectacular symbol of West Germany's economic rebirth: the automobile industry. [ABSTRACT FROM PUBLISHER]