cross-posted from: https://lemmy.ml/post/20506285
Germany has the second lowest public spending to gdp in the EU. Only Irelands is lower and Irelands GDP is overstate due to tech companies. At the same time the German government has an amazing credit rating and a lot of investment oppurtunities in the green transition and infrastructure.
The only thing Germany has to do, is to borrow some money and spent it somewhat well. Right now debt to gdp is falling during economic problems, so borrowing can very easily done sustainably.
That would also improve the mood in the country, which is highly important.
German GDP is still growing every year, just a bit slower. Stuff like this happens in capitalism. It doesn’t have much effect on other companies.
Fuck axel springer_ with its monopoly on news.
While the article is right in that the German economy sucks, a lot of its reasoning is bullshit.
For example, Tesla was definitely a rude awakening, but stock valuation means jack shit with the NYSE running on pure price speculation.
Also yeah they are closing factories in Germany, but they sure as hell are keeping those in Eastern Europe. What did they think would happen when they got built, and they got built bigger than those in Germany?
Point is, this downturn is not because a lack of innovation or whatever, but just the neolib policies changing tack as they were always supposed to in a downturn.