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genauer
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@ Jan Smith I reject the endless attempts to blame Germany for majority decisions of the Euro Countries in response to a permanent treaty and memorandum violations Greece
test, sorry
Toggle Commented Jan 10, 2015 on Links for 01-10-15 at Economist's View
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1. your false claim: "Low-wage workers also end up spending a much higher proportion of their income on mandatory health insurance" the fraction of health insurance is fixed as a proportion of the wage 2. the income distribution in Germany has not changed beyond noise in the last 25 years, See SOEP panel 3. the reforms were done by social democrat Schröder in 2003, and not former christian democrat Kohl before 1998
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OupootZA I wish you good luck volunteering as a foreign tax collector in Greece. Whatever "formula" you would come up with, at least two third would feel short changed. repeated attempts of Germany to "harmonize" (your word: "centralise") taxes AND benefits, were met with eerie silence from many. Their call for "german leadership" is just for plain "give us your money and shut up" If even the present, simple TREATIES do not keep the stupid criminals to come up with all kinds of excuses to not meet their obligations, but make endless demands, what others should give them, any vague promise of something more would just reward crime and hate mongering, and provide a stellar moral hazard for more of it. Not happening.
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Lafayette, the big difference is, that once Germany violated the 3% limit in 2002, numbers in in early 2003, it took the social democrat Schröder just 6 weeks to come up with Agenda 2010, which took one more year than envisaged (4 instead of the until then accepted 3) to get back under 3%, but worked in the long run even a little better then expected, especially resulting in the huge export surplus. Schröder did seek reelection in 2005, but lost by a tiny margin to Merkel. German people also do not like their pensions ( > 10%) and benefits cut. And Merkel vacations in Italy (Südtirol) every year. Maybe we could ask for Südtirol as a collateral for aid programs? LOL : - )
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1. Anne your plot http://research.stlouisfed.org/fred2/graph/?g=OSy shows actually even more than you said ! Everybody, please open it, turn to maximum time period AND absolute GDP per cpaita numbers (2005 Dollars) The Czech had 2 advantages, a historically higher level of industrialization (together with Saxony leading in Europe, between the wars). AND being closer to Germany, with open borders, was massive advantage to be incorporated into the central European manufacturing chain, iron ore and other stuff rolling in from the Dutch Atlantic ports, all the way to the Skoda factories, and their cars rolling back, a long train every quarter hour at least through the Elbe valley. In 1990 the richer Czech wanted to separate from their poorer Cousins. But recently the disadvantaged Slovakia, but in the Euro, pulled ahead, not just catching up !
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John, whatever grievances you might have, please sue whoever you want, in any court you might find useful. What law we should have broken is your allegation of "open, blatant crime" ? Assessed by what court? In contrast, Germans folks sued successfully at the German Supreme court (Bundesverfassungsgericht), to find QE and similar shenanigans illegal, and the Bundesverfassungsgericht called the european supreme Court (ECJ) to confirm or define narrow exceptions, not expected before May 2015 the earliest. And this is the LAW, and not the endless racist hate mongering of english elitist crime propagators, who think that London imperialists can break the rule of LAW. The last time they (Cameron) tried, the united mainland Europe answer was NO (26/2/0) to the tiny treaty breaking "elite" minority.
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adding to Anne, showing that german employment ratio is now one of the highest, in IMF 2014 WEO (world economic outlook) variables names, that would be variables LE = employment / LP = population, germany has 0.504, more than the very most, despite our "geriatric" demographic profile. And for those loving to dish out the "neo-liberal" slander, that comes with a mininum wage of 8.5 Euro , or 11 Dollar per hour, AND universal health care since 128 years and Fred, despite the ECB and the Fed having the same 2.0% inflation target, the 30 year bund interest rate is at 1.78% "http://www.deutsche-finanzagentur.de/fileadmin/Material_Deutsche_Finanzagentur/PDF/Aktuelle_Informationen/kredit_renditetabelle.pdf" a full 1.27 % p.a. risk premium for US 30 years bonds (^TYX at 3.05%), despite Germany lending (on extremely generous terms 0.0%, but not negative http://snbchf.com/2014/06/negative-rates-bundesbank/), some 40 % of our GDP to some less solid neighbors (Target2) Summary: Germany makes some significant sacrifices to keep the european hen house together, but we will not fall for blatant, open crime
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Fred, I said "We simply dont care about your GDP (growth) fetishm" it is this short term fetishism of GDP, we dont succumb to, like a golden calf. Many real improvements of "quality of life" today result actually in a reduction of "nominal GDP", like living next door to amenities and not needing a car. I am not a communist, nor a greenie tree hugger, I have lived and worked for many years in the US, but I do not subscribe to this shallow materialism, your media drum. Germany lives in deep peace, completely surrounded by allies, with open borders (no passports or any controls) everywhere. Everybody can come and see. The majority of people in Europe see, that our way is consistently better for THE PEOPLE, just not for the tiny minorities of criminal "elites" in other countries, like their politicians and mass media. And what they hate most, is that all their hate mongering doesnt put a dent in the german popularity
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Fred, in 2009, German GDP contracted by 5%, more than most others, because we are export / investment goods oriented. Unemployment fell, not rose, from 8.7% in 2007 to 5.9 in 2011. We simply dont care about your GDP (growth) fetishm The cumulative burden of about 100% GDP for reunification was paid for by raising taxes to 67% and cutting benefits, pensions, as needed, and debt from 55% in 1995 to 68% in 2005, scheduled to hit the 60% target again in 2019
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The rules are clear, settled by treaties, not up for individual interpretation nor constant demand for majority votes. http://en.wikipedia.org/wiki/European_Fiscal_Compact describes the law. It is good and reasonable, and not up for renegotiation. Escalation and resolution pathes are clearly set. Starting with citation by the European commission, reprimand, public scolding, open humiliation, fines, more fines, escalation by capital markets, resorting to IMF style ESM turn around programs, as behaving to stupid, criminal entities, the usual tantrums every 3 months from troika visits we are so used to, with the final choice to behave or go bankrupt and get ejected from Europe Greece tried that, first bankruptcy so far, present 10-year rates at 8% (equals argentine continous default with more than 50%, in contrast to well behaving Ireland at 1.7% (0.5% below the US, just to mention) Cyprus tried that, told by a 21/1/1 vote, that until they behave, they are cut off any financial transactions (Target2) Italy can try that too, why should the results be different?
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The ECB wealth survey shows, www.ecb.europa.eu/pub/pdf/scpsps/ecbsp2.pdf that many European countries are richer than German, not only in total, but also as median. The thought that poor German renters should pay the debt of hard-core criminal rich alien house owners, wh didn't pay their taxes to their nations, is completely absurd
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BBC poll: Germany most popular country in the world http://www.bbc.com/news/world-europe-22624104
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I think a lot of the name calling and other stuff from the Krugtron folks, like delong, Noah, .... is caused by the fact, that the Bundesbank got its way. in 2013 both the FED and the Bank of Japan adopted the 2.0% inflation target
Toggle Commented Jul 4, 2014 on Links for 7-03-14 at Economist's View
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