Unless there is another thread on present situation, here it is and let us discuss... http://www.spiegel.de/international...ce-in-doubt-after-summit-defeat-a-842056.html German Dominance in Doubt after Summit Defeat Chancellor Merkel suffered a bruising defeat at last week's Brussels summit after the leaders of Italy, Spain and France ganged up on her. Europe's power relations have shifted as a result. It looks like Germany will no longer be calling the shots in the EU. ----By SPIEGEL Staff
Why no one is saying anything here? This is the most important issue as Euro may disappear very soon...
You know that for a fact do you? Where can I learn about this, can you provide a link as to where Germany said that they were going to leave the Euro, thanks.
Items to watch: Forget It Draghi, Spain is Finished... Here's Why. Spain in crisis talks with Germany over €300bn bailout Germany's finance minister, Wolfgang Schäuble, will meet his Spanish counterpart, Luis de Guindos, for crisis talks on Tuesday amid fears that spiralling bond yields in the eurozone's fourth biggest economy will force it to seek a €300bn bailout from the European Union and the International Monetary Fund. http://www.zerohedge.com/contributed/2012-07-30/forget-it-draghi-spain-finished-heres-why
More items: European Dollar Shortage Back With A Vengeance As Short-Term ECB $ FX Swaps Hit 2012 High http://www.zerohedge.com/news/europ...ngeance-short-term-ecb-fx-swaps-hit-2012-high I Said Germany Would Leave the Euro… Well, Germans Are Already Using Deutschemarks Again! http://gainspainscapital.com/?p=1920 Germany Leaving the Euro as Germans Are Already Using Deutschemarks Again! http://www.marketoracle.co.uk/Article35680.html
While a few Germans are using their old currency again I don't think that they will go back to using it UNLESS the Euro fails completly and is abandonded by all nations involved. That means everyone would have to sit down and figure out exactly what everyones currencies would start out at in values and also how any country would pay off debts that are owed to other countries as now Greece owes Germany over 600 bilion Euros.
That's a pretty bald statement - and without a single effort to try and support it. To the contrary, Germany is getting sick and tired of bailing out and babysitting those fiscal failures of nations. All they can see for their efforts is a HUGE sinkhole for their money that keeps growing and growing. At some point - and probably in the near future - they are going to say, "Enough is enough!!"
I agree. If I am German, I will get pissed of about these countries wasting money for no reason...just having a good time on Germany dime (or whatever the euro has)....so something is going to happen soon...
Yep, it can't last much longer. It's exactly like deadbeat relative who refuses to work but moves in with you. Just how long are you going to tolerate him?
The idea is to copy Germans in Europe and even in the USA. So basically we supported Gemans after WWII, But now we need to learn from them...Think about SAP and everything will come clear...
It is necessary to note that German gets both benefits and cost currently with efforts to hold the Euro up. I.e. main reason Germany is at times world´s leading exporter is it has a very weak currency compared to the old (or returned) Mark. Holding the euro system together is the price Germany pays to have high exports. German workers / voters might like to be paid in strong Marks that buy more, but the factories they work in can´t do that if their exports are greatly reduced by that same strong Mark. I.e. they had better be careful what they wish for.
Germany only has that money to begin with because the Euro has locked all of Germany's neighbors into what is effectively an uncompetitive exchange rate with Germany. Absent the Euro, they'd have simply dealt with this issue by devaluing their currencies relative to the Mark, Germany's exports would have dropped off a cliff, unemployment in Germany would have skyrocketed, and the periphery would have rolled on its merry way. Germany enjoyed the upside of this relationship very much for many years - it hardly seems unfair to ask that they pay for the downside, if they don't want to suffer the unemployment that they've shifted to the periphery. The real trouble here is that German bankers didn't figure out any productive ways to loan the inflows of money back out to the periphery. But, that is all likely to work itself out in the next ten years anyway. The whole reason that Germany is more competitive than most of Europe has nothing to do with any inherent properties of Germans, or policies that they have pursued (although they like to think otherwise). It's because of reunification. 20 years ago, Germany suddenly added a huge stock of industrial infrastructure and low-paid workers into its economy - bang, instant "competitiveness!" But by now they have largely finished metabolizing that boost of cheap industry and labor, and brought living standards and pay in the east up to par. Ten years years from now, the competitive advantage will be in the rear-view mirror.
As long as the trouble stays in Europe and doesn't come to River City. (I got an e-mail from a business friend of mine in Des Moines who says the US will move to the Euro soon.)
