German Economy Slumps, Key Indicators Fall, Underlines Eurozone Economic Decline

With zero growth in the German economy over the final quarter of 2019 as manufacturing remained in a slump and exports fell, the wisdom of Britain’s middle and working class voters choice to leave the failing European Union was vindicated again. The German figures highlight the many challenges facing the Eurozone, which is hamstrung because it consists of 19 different economies (eith of them economic basket cases,) all needing very different solutions.

German’s state statistics agency reported today there was zero growth in the fourth quarter and a mediocre 0.6 percent increase for the whole year. And that paltry figure has only been achieved with the help of financial jiggery pokery from the European Central Bank (ECB)

Germany´s troubles are central to the economic difficulties of the 19-country eurozone economy and the European Central Bank, which has for several years been trying mask the reality of flagging growth and inflation with negative interest rates and newly printed money. Germany has been a manufacturing and export powerhouse in recent years and has propped up the rest of the sigle currency zone, but with German manufacturing in the doldrums and exports rendered uncompetitive due to increased costs imposed by ineffective and pointless “green” policies imposed on member states by Brussels, those areas have been sluggish and only debt funded consumer spending has kept the country out of recession. But debt funded spending is only ever a short term solution.

Carsten Brzeski, chief economist at ING Germany, told a German Financial Newspaper, “In general, the German economy remains stuck between solid private consumption and a paralyzed manufacturing sector.”

Slowing global trade and the uncertainty caused by the U.S.-China conflict over trade have been one problem. Another is structural change in industry, particularly the auto business, where companies must sink billions into developing electric cars and new services based on smartphone apps, both to meet regulatory pressure for lower greenhouse gas emissions and to head off competition from from the tech sector.

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Germany’s ruling party split over how to respond to AfD

Germany’s Christian Democrat party (CDU) is as deeply divided as Britain’s Labour Party over how to respond to the upsurge of nationalism. Facing a serious challenge from the nationalist (but not far right please, they are not that,) Alternative for Germany party (AFD) the CDU seems pitifully unprepared for departure of the Chancellor Merkel at a point when Germany its facing most serious political and economic crisis for decades.

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German Green Party Urges Allowing 140 Million “Climate Refugees” To Migrate To West
The Green Party in Germany is currently putting forward as a policy that up to 140 million “climate refugees” should be allowed to migrate to the west and given citizenship. The question of where we would put 140 million people and what we would do with them is of course deflected. And the case that the 50 million climate refugees that were predicted tTo descend on the west, having been displaced by rising sea levels are apparently all hiding under Harry Potter’s Cloak of Invisibility is ignored.

Germany sliding into ‘dangerous’ anti-Europe hysteria warns top economist
As Germany’s economy continues to stutter one of the country’s top economists has warned the country is desending into “anti-Europe hysteria” amid growing criticism in the country of the European Central Bank (ECB) and surging support for the Eurosceptic, anti – immigration AfD Party.

Germany sliding into ‘dangerous’ anti-Europe hysteria warns top economist

As Germany’s economy continues to stutter one of the country’s top economists has warned the country is desending into “anti-Europe hysteria” amid growing criticism in the country of the European Central Bank (ECB) and surging support for the Eurosceptic, anti – immigration AfD Party.

Germany Heading For Political Instability After EU Elections?
it may be premature to write off the AfD because it is entirely possible their supporters suffered a bout of apathy with regard to the European Parliament, being aware the European Commission will not allow any nationalist grouping to gain influence in the parliament, the Left made some astonishing gains at the expense of Merkel’s CDU and its coalition partners the CSU and SDP. The always fragile coalition is now in even more trouble …

 

Currency Wars: Former UN Under-Secretary-General Calls For One World Currency

In this page, we have covered US attempts to expolit its position as issurer of the global reserve currency, and the moves by China and Russia to resist that. Moves to establish the US$ as a true global currency began a long time ago with the creation of the International Monetary Fund at the Bretton Woods conference in the final months of World War 2, with Germany defeated and the world ready to split into capitalist and communist factions…

German Alarm Grows Over EU Determination To Punish Britain For Leaving
The business community and conservative politicians in Germany are becoming more annd more hostile towards the way Brussels is trying to force the UK Parliament to accept the Brexit Withdrawal Agreement as a fundamental failure of European statecraft that can lead only to a diplomatic catastrophe and long term animosity between the EU and one of Germany’s largest expot customers.

German Alarm Grows Over EU Determination To Punish Britain For Leaving
The business community and conservative politicians in Germany are becoming more annd more hostile towards the way Brussels is trying to force the UK Parliament to accept the Brexit Withdrawal Agreement as a fundamental failure of European statecraft that can lead only to a diplomatic catastrophe and long term animosity between the EU and one of Germany’s largest export customers.

 

EU Very Good for Germany, Not So Much for Everybody Else

 
Former Ambassador to Germany Sir Paul Lever said in an interview today that Brexit will have little real impact on the European Union (EU), which is overwhelmingly controlled by Germany. Short term he may be right, but with the German economy stalling what will prop up the Brussels cash burning machine one britain is gone?

Germany: Economy crisis as growth stalls – car production crashes
Germany’s federal Government today reduced its growth forecast for the second time in two months as plunging car production figures sent shockwaves through the Eurozone. The German economy, has been propping up the economically stagnant EU for years…


Brexit has terrified ‘Brussels bubble’ – German insider

The EU elite “lost faith in their own appeal and abilities” following the Brexit referendum vote and the surge in support for nationalist parties. The knee jerk response of the Brussels bubble was to try (and fail) to punish Britain for defing Brussels in the same way as they had punished small nations like Greece, Portugal and Ireland, which in their perception was the only way to prevent the EU breaking apart.

Full Catalogue Of Posts On Germany

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