Posted on 12/19/2024 9:16:21 AM PST by delta7
The collapse of Germany shocks many. But I have been discussing why this was inevitable for over a decade.
Germany Is Unraveling Just When Europe Needs It Most Bloomberg reports Germany Is Unraveling Just When Europe Needs It Most Germany is reaching a point of no return. Business leaders know it, the people in the country feel it, but politicians haven’t come up with answers. That has set Europe’s largest economy on a path of decline that threatens to become irreversible. Following five years of stagnation, Germany’s economy is now 5% smaller than it would have been if the pre-pandemic growth trend had been maintained. More worryingly, Bloomberg Economics estimates that the bulk of the shortfall will be tough to recover, due to structural blows such as the loss of cheap Russian energy and Volkswagen AG and Mercedes-Benz Group AG struggling to keep pace with China’s auto firms. The decline in national competitiveness means every household is worse off by about €2,500 ($2,600) a year. To revive competitiveness, Germany ultimately needs to spend more. Just to catch up with other advanced economies, the country will have to increase annual investment on infrastructure and other public goods by about a third to €160 billion, according to Bloomberg Economics. That’s a rise equivalent to more than 1% of GDP. The private sector has also held back. Expenditures on machinery are more than 9% below pre-pandemic levels. A recent survey among family-owned companies showed nearly half aren’t even planning to replace what breaks, blaming bureaucracy and unpredictable policies. That’s effectively a no-confidence vote in an economy fighting to retain its status as third-largest in the world.
Collapse of the German Government
Yesterday, I noted The German Government Collapses, Early Elections Are Coming up
Chancellor Olaf Scholz [SPD party] lost a confidence vote on Monday leaving a deeply fragmented Germany in his wake. The only thing an election will do is shift the power from one very unstable coalition to another very unstable coalition. I ran the coalition math. It’s pathetic.
The current Traffic Light coalition is SPD, FDP, and the Greens. FDP might not get 5 percent of the vote to stay in parliament. All of the parties rule out an alliance with AfD (reportedly Far Right) and BSW (reportedly Far Left). Combined, that is 22-25 percent of the total. AfD and BSW have three things in common. They are both anti-immigration, anti-NATO, and anti-Green.
A failure of the last “Grand Coalition” SPD + Union (CDU/CSU) led to the failed traffic light coalition. Another Grand Coalition cannot possibly solve anything.…..
Ping to you, sir.
Remove EV mandates, and eliminate energy sanctions on Russia...and Germany will be just fine.
Beware the rise of reactionaries in Germany. The German people as a whole are intelligent, disciplined, and industrious, and as such have been in time of national calamity prone to manipulation by nationalist zealots. It’s happened before, and it can happen again.
“...No one tried to collectively destroy Russia...”
Except democrats. They have systematically used Russia as a whipping boy political weapon...most notoriously against the likes of Trump, Tulsi Gabbard, etc and republicans in general. Dems have profoundly and nefariously poisoned this well.
Sorry pal but I’m not being lectured by an ignoramus I have more knowledge of foreign policy and apparently a better understanding of morality than ten of you.
You almost destroyed Free Republic.
Your criticism of the democrats and the way they used Russia as a political issue is completely correct.
Germany’s economy is now 5% smaller than it would have been if the pre-pandemic.
Xi checks China’s budget nods and grins sends belt and road plan to Germany.
Delta7 is an Armstrong pimp.
Martin Armstrong is pro-Russia and anti-America blaming America for sending him to prison for scamming millions from investors.
Now that is an intellectually rigorous comment. Your insults are a badge of honor for me.
Sorry, I don’t follow. It’s not really disputed that millions of Russian nationals have emigrated to the “Globohomo” EU rather than enjoy the fruits of Russkiy Mir. I ask again: how many Americans are in Chelyabinsk?
The Gaia Worshipers have effectively sacrificed the German economy to their weather goddess. Most Germans still haven’t quite figured that out yet. They can’t compete industrially with high energy costs and they can’t lower energy costs without Fracking, burning coal and building a bunch of new nuclear power plants.
“The German government, French government, Canada( and more) all in turmoil and collapsing.”
You omitted your prediction of next year’s civil war in the US ...
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