German Growth Bolsters Its Stance on Recession

[Marcus Bryant]

http://www.nytimes.com/2010/08/14/world/europe/14germany.html?pagewanted=1&hp


Germans steered clear of the debt-fueled consumption boom that many believe contributed to the financial crisis. During the recession, Chancellor Angela Merkel resisted the palliative of government spending that the United States and some European partners felt was crucial to restoring growth.

[Marcus Bryant]

Germany’s partners have cajoled, begged and demanded that the government in Berlin encourage more robust consumer spending, to combat imbalances among the countries that use the euro currency. But Ms. Wiblishauser said she found the prospect of spending to aid other European countries distasteful.

Like many Germans, Ms. Wiblishauser said she was having a hard time seeing the benefits the country received from being a member of the European Union. “I would really like it if we were self-sufficient, like the Swiss,” she said.

[boutons_deux]

America was always respected for its materialistic wealth, of knowing and showing how to "do capitalism".

Well, that's gone, as America has screwed over the world's deeply interconnected financial system by turning it into a unregulated/unlicensed/untaxed casino.

Germans banks, and French and UK, did get US taxpayer $Bs from the Wall St bailout.

I remember in the 80s when the US adored the financial success of Japan. Japan's real estate bubble burst (yeah, they too had super r/e bubble), and Japan took a decade to just come even, and is still not in great shape 20 years later.

Will Germany be able to maintain its success? My guess is as long as they can keep their financial sector, "staid German banks", from going ass-wild unregulated American-style, they'll be OK.

btw, Germany has an excellent national/universal health care system, just another example of how screwed America's health care system. Germans also have an excellent education system that addresses the fact that not everybody has to, must go to college to be viable.

[Marcus Bryant]

Perhaps very few need to go to college, if at all.