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The german export surplus has been criticized in the past for damaging the economy of other countries (esp. in the EU). It is not possible for every country to

by vk23 9y ago

The german export surplus has been criticized in the past for damaging the economy of other countries (esp. in the EU). It is not possible for every country to copy this system because someone has to import all the stuff you are exporting.

rusk 9y ago
I agree with this to a point, as an occupant of a peripheral nation. In particular how the depressed Euro helps them out because it reduces the cost of their exports. But, you simply can't argue with German productivity! Or the general quality of the goods they produce, and when it comes to getting good value groceries around Europe again it's the German supermarkets that are leading the way. There is a problem to solve with regards to how German economic activity is balanced with the social needs of the European area. My personal bug bear is how the peripheral nations are expected to foot the bill of maintaining the periphery themselves, while Germany sits cosily in the centre printing Euros for herself. But at the foot of Germany's success is doubtless her ability to manage her economy better than most, investment in education and to her fostering and nurturing of talent both home grown and from abroad.
- dazc 9y ago
  '...when it comes to getting good value groceries around Europe again it's the German supermarkets that are leading the way.' By producing cheap copies of established branded goods?
  - rusk 9y ago
    Not quite. They sell quite a number of branded goods, including a large amount of stuff sourced from the local economy. But anyway, selling unbranded equivalents is pretty much standard across the industry. What knockoffs they do provide are typically of a fairly high standard. No I just think that it's all down to the fact that they're better at business. The weakest of these German chains is in my opinion Lidl, but I'd prefer to go there than the Tesco I have around the corner any day!
    - dazc 9y ago
      'No I just think that it's all down to the fact that they're better at business. The weakest of these German chains is in my opinion Lidl, but I'd prefer to go there than the Tesco I have around the corner any day!' I agree the German supermarkets seem to have better management, that which is visible at shop floor level anyway, for sure. I don't like Aldi and Lidl because the checkout process is so rushed and chaotic. Obviously, some people don't mind and see it as a fair trade-off?
      - rusk 9y ago
        As Noel fielding would say “Asda for day to day and Mark’s for the bits”!
      - aluhut 9y ago
        > I don't like Aldi and Lidl because the checkout process is so rushed and chaotic. Obviously, some people don't mind and see it as a fair trade-off? I don't like rushed for the weekend food shopping. Monday - Friday 12 o'clock shopping needs to be rushed though and since you don't have much, I prefer Aldi before REWE. Especially because it's cheaper too.
- vk23 9y ago
  I think there are some misconceptions about the state of the german economy/society. The development has actually been quite worrying over the past 20 years. More and more people are receiving social welfare despite working full time and poverty rates are rising. There is also a shortage of skilled workers which is not easily compensated with foreign workers due to the lack of a proper immigration system. With the current development in the car market (think VW) which is still one the power horses of the german economy and the lack of german electric cars its hard to say where the german economy really stands.
  - RobertoG 9y ago
    All that is true, and it's the consequence of internal devaluation through austerity. It's fascinating to see how that is sold to the population, in the middle of an export boom, and very low inflation.
    - rusk 9y ago
      I wouldn’t say it’s so much sold, as rammed down our throats!
  - rusk 9y ago
    Yes, but many of these issues can speak to the European economy as a whole, maybe even “the west”. I’m speaking comaparatively though. Perhaps unemployment is an issue right now but the quality of the social safety net in Germany should take the sting out of that!
  - krrrh 9y ago
    Another post on the front page notes that BMW sold 100,000 “electrified” vehicles (of which ¼ were 100% BEV) in 2017. The s-curve on electric vehicle adoption has barely started to rise and will take 20+ years to complete. German manufacturers’ market timing is far from being proven wrong.
kriro 9y ago
The good news is that in theory both the importer and the exporter profit from that relation. Otherwise said relation wouldn't exist.
- vk23 9y ago
  The exporter gains the capital the importer "loses". This is fine as long as there is a balance between import and export. Once the balance is off there is a problem for the importer.

by vk23 9y ago

rusk 9y ago

I agree with this to a point, as an occupant of a peripheral nation. In particular how the depressed Euro helps them out because it reduces the cost of their exports. But, you simply can't argue with German productivity! Or the general quality of the goods they produce, and when it comes to getting good value groceries around Europe again it's the German supermarkets that are leading the way. There is a problem to solve with regards to how German economic activity is balanced with the social needs of the European area. My personal bug bear is how the peripheral nations are expected to foot the bill of maintaining the periphery themselves, while Germany sits cosily in the centre printing Euros for herself. But at the foot of Germany's success is doubtless her ability to manage her economy better than most, investment in education and to her fostering and nurturing of talent both home grown and from abroad.

dazc 9y ago
'...when it comes to getting good value groceries around Europe again it's the German supermarkets that are leading the way.' By producing cheap copies of established branded goods?
- rusk 9y ago
  Not quite. They sell quite a number of branded goods, including a large amount of stuff sourced from the local economy. But anyway, selling unbranded equivalents is pretty much standard across the industry. What knockoffs they do provide are typically of a fairly high standard. No I just think that it's all down to the fact that they're better at business. The weakest of these German chains is in my opinion Lidl, but I'd prefer to go there than the Tesco I have around the corner any day!
  - dazc 9y ago
    'No I just think that it's all down to the fact that they're better at business. The weakest of these German chains is in my opinion Lidl, but I'd prefer to go there than the Tesco I have around the corner any day!' I agree the German supermarkets seem to have better management, that which is visible at shop floor level anyway, for sure. I don't like Aldi and Lidl because the checkout process is so rushed and chaotic. Obviously, some people don't mind and see it as a fair trade-off?
    - rusk 9y ago
      As Noel fielding would say “Asda for day to day and Mark’s for the bits”!
    - aluhut 9y ago
      > I don't like Aldi and Lidl because the checkout process is so rushed and chaotic. Obviously, some people don't mind and see it as a fair trade-off? I don't like rushed for the weekend food shopping. Monday - Friday 12 o'clock shopping needs to be rushed though and since you don't have much, I prefer Aldi before REWE. Especially because it's cheaper too.
vk23 9y ago
I think there are some misconceptions about the state of the german economy/society. The development has actually been quite worrying over the past 20 years. More and more people are receiving social welfare despite working full time and poverty rates are rising. There is also a shortage of skilled workers which is not easily compensated with foreign workers due to the lack of a proper immigration system. With the current development in the car market (think VW) which is still one the power horses of the german economy and the lack of german electric cars its hard to say where the german economy really stands.
- RobertoG 9y ago
  All that is true, and it's the consequence of internal devaluation through austerity. It's fascinating to see how that is sold to the population, in the middle of an export boom, and very low inflation.
  - rusk 9y ago
    I wouldn’t say it’s so much sold, as rammed down our throats!
- rusk 9y ago
  Yes, but many of these issues can speak to the European economy as a whole, maybe even “the west”. I’m speaking comaparatively though. Perhaps unemployment is an issue right now but the quality of the social safety net in Germany should take the sting out of that!
- krrrh 9y ago
  Another post on the front page notes that BMW sold 100,000 “electrified” vehicles (of which ¼ were 100% BEV) in 2017. The s-curve on electric vehicle adoption has barely started to rise and will take 20+ years to complete. German manufacturers’ market timing is far from being proven wrong.

kriro 9y ago

The good news is that in theory both the importer and the exporter profit from that relation. Otherwise said relation wouldn't exist.

vk23 9y ago
The exporter gains the capital the importer "loses". This is fine as long as there is a balance between import and export. Once the balance is off there is a problem for the importer.