Germany in deepest recession ever
 

http://www.welt.de/wirtschaft/articl...seit-1949.html

so far no English link, sorry.

As a result from the credit crunch and the crisis in the banking sector, the German federal bank expects for next year a decline of the economy of 1%. That translates into the loss of 200.000 jobs. It is the worst decline of the German economy since founding the Federal Republic of Germany after WWII.

Past experience shows that such calculations almost always are too optimistic and too much wishful thinking. Which means that it probably becomes even worse.

Originally it was planned to present the first balanced state budget since almost 20 years in 2009. but in the wake of the meltdown on the financial market, new debts had to be accepted. These again had been doubled in the latest draft for the 2009 budget today, to compensate for the losses of taxes and increased sociual spendings caused by the banking mess.

the new subprime desaster and the creditc ards crush, both of which are currently in the preparation phase before unfolding in full, have not even been calculated into the Federal bank's projection. I personally think a decline of 3%, slowly unfolding over all of 2009, is possible and not even unlikely, which would mean the loss of 600.000 jobs minimum (the rule of thumb for german economy says one percent of economic growth or loss equals 200.000 jobs). And it could become even worse due to events and new informations currently not forseeable. Or does anybody think that bankers all of a sudden have switched to always saying the truth, especially about the status of their own companies?

Ask yourself where are all the jobs and money going ? And what can I do to stop it ?

Good Luck my friend. :up:

Analysts and observers are united in attributing it directly to the finance crisis. Germany was in a solid boom before the crisis broke open. You maybe don't want to hear it, but we can directly say thankyou to Wall Street and the american finance market model for having kicked us into a recession, and all world economy along with us. And our politicians have warned of these events since three years and demanded from Washington and london to accept installing better rules for transactions and better supervision to safeguard against failures of individuals, speculators, and banks. Washington and London just laughed. they do not laugh anymore. but the damage they have allowed to take place - still is at our cost. And the demands of not regulating the processes that caused the mess - still are there. The G-20 ended with a declaration with 50 ppoints. but if you look close eniogh you see tzhat all these points are vague forumations, intentions that could interpreted this or that way, and there is almost nothing that would have nailed Washington on accepting that "just the old ways" and laissez-faire are no longer an option. the subcommitees working of filling these vague declarations of intention with solid substance, will start next year. I expect a lot of blockade from Oabama as well as London, and honestly - i expect nothing substantial at all from it.

So, don't smirk. If america would have done its homework, Germany would not have fallen into a recession. Aghain - we have been in a boom and planned for a balanced budget, until the crisis made in the US started to emerge.

What your saying is YOUR investors put all YOUR eggs in OUR basket and they got broken. :rotfl: :rotfl: :rotfl:

That wasn't very smart. :p :nope:






btw a little ot, I just got some really good soaring missions last nite.

Kept me up till 4:00am:dead:

Can you give us a link to the mandate, executive order, or law, that forced Germany to make American investments?

Can you offer any proof that America hasn't paid any debts owed to Germany?

During your recent boom economy, how much of that was due to imports to America?


Things are what they are. Get over it. The whole situation is a ****t sandwich and we're all going to have to take a bite. Right now you're sitting in a warm house with running water and electricity and have a full belly. Time to start being thankful for what you do have, for it may be gone soon.

Quick focusing on the blame and start working on a solution. The reality is that we can no longer ride the coattails of our parents and grandparents hard work and sacrifice.

It's our turn now. We are going to have to make sacrifices. We are going to have to work harder and smarter than ever before. Things are going to get worse before they get better.

I'm thankful I live in the country that's going to do everything it takes to make it better.

In the news tonight there was a report on about how people in Nebraska abandon their kids because they canno't afford their education anymore , simply SPEECHLESS

Public school in Nebraska is not financed by the state?? Property taxes are the main revenue that finances schools.

Public schools are not paid for by charging the kid's parents a tuition.

It is true - noone compelled german or any other banks to invest in the U.S. market.

It is also true that many companies made large profits in the U.S.A. as it is still a very important market for BMW, Mercedes, VW and Porsche - even Airbus.

I think the U.S. ranks 5th place among Germany's most valuable trade partners, with the UK getting in 4th recently. From this one can see that we should have every interest that America gets its problems fixed which -of course- does not mean that we have plenty to solve of our own ...

Hm, I suppose now i am expected to laugh. Please don't mind if I pass.

not at the cost of leaving america such an unbalöanced consumer and extreme spender and money-lender that it is, becasue then we only delay the blowback of an deepßly unhealthy situation - a delay at the price of increasing the final bill to be payed, by them, by us, by us all.

germany always made one strategic mistake: it has mkistaken strong exports to be a strategic strength. In fact, it is the exact opposite, since it means strong dependence on the good will of others. This leaves germany always in an exposed position.

While it is true that foreign economies were not forced to fall for american finance products, it nevertheless were American banks spreading these in the world, inventing them, propagating them, setting them up like baits, and refusing any regulation or monitoring of them to safeguard agaimnst their risks, especially the often demanded regulating of hedgefonds is on my mind, the american rejection to accept implementing of measures that would rpeevnt banks from being able to sell away the risks of their risky operation is another major point. To say nobody forced other nations to fall for these practices and being fooled by their promises is like saying that it is the fish's mistake that the fisherman has brought out a line. And in case of aggressively, almost warlike operating hedgefonds, it compares even more to saying that it is the deers fault that it did not evade the shot when the hunter shoots it over long distance.

The system is the problem, and it must be replaced. that a massive chnage of the ways in which global economy is being done, is following in the wake of this, muist not be explicitly mentioned, I assume. And since almost all and everybody does not wish this massive chnage which is nothing but a revolution, things will continue to fall apart and detoriate for a long time to come. what I wish for, probably is an utopia. what I realistically assume to happen indeed, is a maelstrom. It will not result in a better world or economy order, but in greater chaos.

Don't mind at all.

Mothballs=1 Skybird=0

When you keep throwing stones at my country, don't expect me to "pass". I'll just give you another pasting that you can't respond to.

Hello global customer.

Welcome to the U.S. Liberal foreign policy system. We're here to make the world a better place.

If you are experiencing problems with your economy due to liberal U.S. economic policy, please press 1, and a representative of the Democratic party will be with you shortly to explain how it is all ok.

If your nation's currency is being affected by the strength of the U.S. dollar, please press 2, and a representative of the Democratic party will be with you shortly to explain how it is all ok.

If you require a loan from American taxpayers, please press 3, and a representative of the Democratic party will be with you shortly.

If you require a loan from a foreign country at the expense of American taxpayers, please press 4, and a representative of the Democratic party will be with you shortly.

If your country is a wealthy central European nation, please wait for the click.

If your country is experiencing a U.S. military invasion, please insert your phone into the second-smallest body orifice that is not located on your head.

(I do love my little jokes, whether they are funny or not:D
No serious commentary intended.)

If it makes you sleep well to interpret it that way, I wish you good dreams - America does a lot of dreaming while leaving behind a trail of dreams turned into rubble others have to clean up behind you.

I can get you a broom and a shovel at a good price. (I'll have to ask for cash up front. We stopped extending credit to countries experiencing self induced recessions.)

I don't think it yet approaches the great depression.