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Why Germany needs a functioning euro-periphery: Its trade surplus with the rest of the eurozone...

Why Germany needs a functioning euro-periphery: Its trade surplus with the rest of the eurozone fell to €62.2B in the 12 months ended in March - the lowest of any 12-month period since 2002. Much of Germany's solid growth has come from Club Med states borrowing to buy Bimmers. With credit cut off and PIIGS economies contracting, the German surplus is disappearing.
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Comments (3)
  • bbro
    , contributor
    Comments (10154) | Send Message
     
    "Much of Germany's solid growth has come from Club Med states borrowing to buy Bimmers."

     

    Editorial comment or Fact???
    11 May 2012, 03:20 PM Reply Like
  • schatzl
    , contributor
    Comments (391) | Send Message
     
    Germany has just posted its highest ever export numbers (98.8 billion € for March alone!). The editorial is correct that Europe is the main trading partner and trade there has fallen dramatically, but on the other hand it has been overcompensated by the Americas and especially Asia.

     

    Trade balance remains very strong: March 17.4 billion €, 14,9 in Feb and 18,8 in Jan.

     

    Germany is not only steam-rolling the European periphery, it is steam-rolling the rest of the trading world (which other non commodity country has a trade surplus with China?)

     

    All in all largely inaccurate and misleading editorial.
    11 May 2012, 03:36 PM Reply Like
  • Econdoc
    , contributor
    Comments (2944) | Send Message
     
    bbro

     

    per capita Porsche sales in Greece highest of any where in Europe.

     

    those idiots were borrowing the money - over paying themselves and spending the money on consumables - that is the real reason they are up the creek.

     

    Debt is not the issue. Debt used to fund consumption or unproductive investment and a lack of structural reform and very weak institutions (they seem to be unable to collect taxes) are the issues in Greece.

     

    E
    12 May 2012, 11:01 AM Reply Like
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