Germany in the Black…for Now

Germany has finally balanced its budget after 38 years of failure. The cause is an export driven 2006-2007 boom. What constitutes an economic boom in Germany these days? 2.5% annual GDP growth. Quite a decline by the standard of West German booms. One wonders whether Thatcher’s concerns about the economic impact of a reunified Germany were misplaced, at least for our lifetimes. And things are regressing in 2008, with the government publicly expecting 2% growth and a return to federal deficit spending.

This entry was posted in Around the Web and tagged , , , , , , , , , , . Bookmark the permalink.

3 Responses to Germany in the Black…for Now

  1. ChrisB says:

    Actually kinda sad that Germany can balance their budget but we can’t without a huge bubble. Though I guess their high taxes help?

  2. Lee says:

    There’s also the matter of due to their living under the American protectorate, they only spend an extraordinarily low 1.5% of their GDP on national defense.

  3. ChrisB says:

    Good point lee. This also seems to be the reason nato is falling apart.

Leave a Reply

Your email address will not be published. Required fields are marked *

*

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>