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Germany's Economy: How Did They Get into This Mess?

Following the Keynesian clown model proposed by the likes of Krugman Germans could always double government deficits (the German deficit is comparatively small) and spend all their 'excess' savings to bolster growth now. Someone should however have mentioned to those advocating for more and more spending that the German society is an ageing one and that in a world where capital is precious savings are any nations's treasure as only savings can finance investments. Whether GDP goes down or not Germany as a country looks stable (apart from the banking sector which is intransparent but that's the case anywhere) in the middle to long-run. It's main problem is that its schools churn out more and more people that can't keep up with global competition which is why I can see budget constrains arising quite soon as benefit spending will have to increase.