The symbolism of saving has cultured in germany

Secretly a television camera with bad tone has taken a short dialogue of the german finance minister wolfgang schable with his portuguese colleague vitor gaspar.

Here for the first time the muhsam protruded, english original dialogue to study. Devot conveys gaspar schauble:

Schael: if in the end we need to make to adjustment to the program (anm.: rescue package for portugal), having taken large decisions about greece … This is key. But then, if necessary, an adjustment of the portuguese programs, will be prepared.

Gaspar: that’s much appreciated.

Schael: no reason. As long as…But if the members of the german parliamil and public opinion in germany do not belare that our decisions are serious, because they do not believe in our decisions on greece.

Gaspar: we have made quite successful (substantial?) progress in european framework.

Schauble: you have. That we know.

Gaspar: but now we have to work togeter. Today.

Schael: yes.

(please excuse transcription errors) portuguese activists have the video under the title "yes my commander!" published.

The market does not interest household policy

The symbolism of saving has cultured in germany: saving is a shape of atheistic fasting. The asceticism demonstrated in it is considered high proof of uninvested attitude, for which you can expect reward and above all obedience.

While fasting in catholic areas, fasting was limited to lent, a kind of chronic permanent fastest can proceed in protestant and now in atheistic properties. Germany has with the supposed debt brake such a legally prescribed and thus gives respect, recognition and obedience in europe.

That portuguese government bonds were rated for nine years as well as germans (nine years eurobonds – an amazing backlog) should no longer be mentioned. It does not mean that the budgetary policy in no way of "the market" gout. She was and is completely equal to them. Nevertheless, the impression is brought to state debt are the result of irresponsible budgetary policy.

Gaspar obeys a nonsensical command

Gas suppers submissible promotions at sparkommissar schable with the knowing of the "progress" shows that the portuguese government believes the message sent to greece daily, through wage cuts, pension rays, sales of the last assets and along the state operators, the creditworthiness of portugal.

This may be referred to as an economic mischief. Marode companies need new business models and customers, not lower leans. Schlecker is not failed to high bonuses and bars, but not more time-free products and services.

But why, however, the static disregarding its debt enhancing germany this absurd amption? Finally, sales markets of germany are ruined and it threatens even riots, yes burger war. And the euro will certainly not stronger that in the periphery of emergency areas with hundreds of thousands of homeless and 50% unemployment. The symbolic fighter loads destroyed europe instead of healing it.

But why? Two answers

First, ignorance. The savings command could be an expression of a decades of ignorance, the name in germany "diploma economist" wearing. However, schauble is a lawyer. The collected indistinct of the economists who still measure sovereign debt at a fiction named gross national product rather than tax revenue, and state-owned, the fiscal politicians wanted to make a straight ice by making the statistically grounded balance sheet manipulation to the center of fiscal instruments. Germany is not at 100 percent, but with 400 percent indebted – the stintual tax revenue namely. Question: does anyone know a german company that is in debt with 400% of its turnover, but is considered as a sample company and industry prior to the borse?

Second, intent. The relocation of the sovereign debt problems on abstract rescivers is basically a derivatization such as the packaging of subprime house loans with low bonitat in aaa funds: in the end, no investor is no longer who is liable for what. He will learn that in the end, if the guilt becomes fally. In the upper economics is this as "lemon problem" and known as the question of asymmetric information.

However, the motivation of this hiding place is this: almost in all european countries, the private enhanced people accumulated by decades of gross taxpayers, in average, the funfache of state debt. So these could be remedied with a devaluation of 20 percent immediately. Politicians who do not do this would be progressing with their own from being used to repay their own. You also like to leave a country like greece.

Both reason – ignorance such as intent – raise the question of who can make fiscal policy in a democracy and should. The pirates have already made clear in the discussion on the application 139 of the federal party day 2011 – as the grunen – that they are happy to be a free allowance of 500 in the event of a wealth tax.000 euro from this except and a wealth tax already rejected several times it seems so far to be parliamentary not to be possible, to pay the sovereign debt about a wealthy tax, since only the left party previously supported this.

But is she unnotically and wrong? In any case, fighting fails.

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