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samedi 16 novembre 2013

Top of the Class Germany Chastised for Failing Euro Zone's Dunces

"The European Commission is reportedly considering an investigation into whether the country's current account surplus is negatively affecting the rest of the region."(cnbc.com). Germany is coming under fire for its succesful economic model. According to its critics such as American economist and ex-MPC member at the BOE, Adam Posen, Germany should forgive all debt to the southern european countries and be more like its problem neighbours : spend a lot more public money, institute a minimum wage in order to boost domestic demand and shift from its long time export driven model.  Oh and ...  it should also stop its outrageous blocking of unlimited money printing by the ECB !
My two cents : I have found German companies to be some of the best people to work with, does it have anything to do with Germany being too succesful ? 
As for money printing, the Germans know a thing or two about its consequences down the road ...



Germany is already experiencing rapid real estate price increases as a result of zero interest rates. Is Mr. Posen who says "Germany is ripping off the world", suggesting that Germany should instead rip off its own citizens with artificially high house prices and monetary theft aka QE of the kind seen in the UK and the US ?

http://www.cnbc.com/id/101189415



Related read : Bundesbank Warns About Bubbles     

  http://www.cnbc.com/id/101200900