Why doesn't the German government want to do tax cuts and regulation cuts to stimulate their economy?
Maybe they should consider doing a better Brexit deal, while they still have a chance.
73 days left, after today.
I’m guessing a lot of Germans are government employees.
I’ve noticed in my commonwealth, Kentucky, that even though our governor (Matt Bevin) is incredible, and basically an “articulate Donald Trump”, a lot of my conservative Christian friends want him out. The reason? He’s trying to fix a horribly corrupt and seriously debt ridden state employee pension nightmare - and every one of those people that don’t like him are either school teachers or have one in the family. Every. Single. One.
Germany has invested heavily into the green craze. The true cost of electricity has risen dramatically. Much of the capital that their private businesses under government pressure invested into green products and manufacturing has been squandered. Their economy and the EU which follows has been weakened. The green craze is far more to blame for this international recession than tariffs.
Because they're control freaks! They will NEVER lower taxes...only increase! I hope Trump moves our bases to Poland!
Sounds like a good time for the UK to desert this sinking ship and develop a better trading relationship with the USA.
And this has what to do with U.S. tariffs on China? Zero, zip, zilch, nada.
Yet, watch the media try to pin the coming recession in Europe on U.S. tariffs. The fact is that Europe is slowing down for reasons of multiple European (EU) policies and multiple policies of multiple EU countries.
This is what the democrats and media hope will happen. A European economic crisis to spread and bring down Donald Trump.
They’re cheerleaders for doom and gloom.
“Screw ‘little’ people being hurt, we want our control and power back!”
Because their socialist government needs more money to support all those Muslims they let in who are living on the public dole.
Also deregulation? That would mean bureaucrats would have to give up some power. Clearly you don’t understand Germans very well.
Germany will NEVER relinquish control over their citizens. It's not their way.
And this has what to do with U.S. tariffs on China? Zero, zip, zilch, nada.
Yet, watch the media (below) try to pin the coming recession in Europe on U.S. tariffs. The fact is that Europe is slowing down for reasons of multiple European (EU) policies and multiple policies of multiple EU countries.
“Brenner added Europe’s lack of control over the trade war Opens a New Window. between the U.S. and China will most likely create a global recession Opens a New Window.”
Nonsense. If the U.S. is exporting less to China and China is exporting less to the U.S. both sides of that are, or ought to be opportunities for Europe, particularly its largest economies like Germany. The REAL case is how come the EU economy is so weak it is unable to take any advantage of increasing tariffs and other trade barriers between China and the U.S.
Creating the EU was supposed to make the EU nations economically stronger, by creating a de facto large domestic economy - the whole EU - as a hedge against the ups and downs of exporting and importing.
A nation with a large internal domestic economy can weather ups and downs of trade better.
I have tried to make the comparisons below, discounting some EU nations total exports & imports as % of GDP by that portion of either that is represented by internal trade between them within the EU. I thought that was the only way to compare their “global” trade, as separate nations, with the U.S.
The problem with getting export and import data as % of GDP with EU nations is so much of it is intra-EU trade between them even when, most of the time, their export and import figures ignore that and lump together the figures for both intra-EU trade and external trade to/from outside the EU.
Some figures for exports as % of GDP are:
France: 12.2% (** 41% of total exports with 59% in EU)
Germany: 27% (* 42% of total exports with 58% in EU)
Italy: 13% (*** 44% of total exports with 56% in EU)
U.K. 16% (***** 53% of total with 47% in the EU)
China 20%
Japan 17%
U.S. 12%
as per: https://data.worldbank.org/indicator/ne.exp.gnfs.zs
and
* http://www.worldstopexports.com/germanys-top-import-partners/
and
** https://europa.eu/european-union/about-eu/countries/member-countries/france_en
and
*** https://europa.eu/european-union/about-eu/countries/member-countries/Italy_en
and
**** https://europa.eu/european-union/about-eu/countries/member-countries/UnitedKingdom_en
Some figures for imports as % of GDP are:
France: 9% (** 31% of total imports with 69% within EU)
Germany: 13% (* 34% if total imports with 66% within EU)
Italy: 12% (*** 41% of total imports with 59% within EU)
U.K.: 15% (**** 49% of total imports with 51% within EU
China: 18%
Japan: 16%
United States: 15%
as per: https://data.worldbank.org/indicator/NE.IMP.GNFS.ZS
The main point of the export data is the U.S. domestic economy is far less dependent on exports than all its major trading partners. (Don’t confuse that with “Wall Street” and what are the revenues & prospects of companies listed in Wall Street trading indexes. They are over-weighted by global companies with foreign manufacturing & foreign revenues that rarely make it back to the U.S. economy, which is about 70% internal - internal $$ exchanged between companies and consumers within the U.S.
The second point is that although German exports outside the EU represent only 42% of its total exports, that is still 27% of its GDP, which makes German dependence on exports greater than its EU partners as well as greater than its large non-EU competitors in terms of GDP dependence on exports.
The third point is, yes, the U.S. imports are less of it’s GDP than is true of either China or Japan but higher than most of the EU major EU countries.
Germany has slowed down because the EU has slowed down, period. The cause is not the U.S.-China trade spat, which a robust EU could be exploiting. It’s just an excuse for its own internal slowdown.