Alexis Tsipras' "open letter" to German citizens
- Thread starter Tsing Tao
- Start date
it is pure Neid when Germany does well and Schadenfreude when it does badly. Now it is the German "Angst" and panic about hyper inflation that Germans are accused of as reasons for their QE opposition. In reality it is a deep rooted sense of not spending what you don't have and especially not buying stuff just because you can get a cheap loan.
I was posting in regards of Visaria post and Germany benefiting of a weaker euro, like if Germany pushed for it. Strong or weak euro, Germany will do and have done better than Greece, and Northern Europe most likely than Southern Europe.
I have nothing against QE btw, US seem to have done pretty well with it (don't want to open another can of worms though).
I had to look up Neid btw, my german is getting worse. Lived in a few german cities a while back, again holidayed there and in Austrian alps twice last year, not sure i'll manage this year, but hopefully this summer. Nice and smart country.
But their tax system ain't that competitive !
Not convinced Germany is widely disliked in Europe and over the world btw, but yes, germans better skip their vacations in Greece (and so will I)
I have nothing against QE btw, US seem to have done pretty well with it (don't want to open another can of worms though).
I had to look up Neid btw, my german is getting worse. Lived in a few german cities a while back, again holidayed there and in Austrian alps twice last year, not sure i'll manage this year, but hopefully this summer. Nice and smart country.
But their tax system ain't that competitive !
Not convinced Germany is widely disliked in Europe and over the world btw, but yes, germans better skip their vacations in Greece (and so will I)
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I'm guessing that English isn't your first language, so allow me to explain.
You claim I said that Germans and other Europeans use Greece as a vacation spot. This means they are going there now. What I said was that, if they go back to the Drachma, the cheap tourism destination will bring people back in droves as it was before the Euro.
Is that clear now?
I'm betting your German, aren't you?
Visaria is correct. It is you who doesn't understand economics.
If there was no Euro, and when there was no Euro, German exports, based in high valued Deutsche Marks, were very expensive to the rest of Europe. Going on the Euro allowed the other european countries to equalize to Germany, creating an export market that was ripe for the taking.
Sheesh. I thought everyone understood this.
Which falls in the euro? The latest one, the one over the past 6 months or so against the US dollar. Why on earth are you looking 1.40? the currently value is 1.13. German exporters are probably going crazy with joy. The fact is the RECENT fall in the euro has been first rate for Germany.
As for your statement that Germany is not overladen with debt, you are mistaken. 81% (!) of GDP!!!!
http://www.nationaldebtclocks.org/debtclock/germany
Perhaps you need to educate yourself before it's too late.
ha, so you are suggesting the Greeks will stop hating Germans if (and potentially when) they exit the euro? I did not get that from any of your suggestions, hence my treating the present and future in this very specific case as being the same.
Yeah, pretty much. Once life gets back to normal (after a whole lot of upheaval yet to come) and people are coming to Greece for vacation, people will begin to forget the animosity. Not everyone, of course. And even if they hate the Germans forever, there sure are a lot of other countries that will visit Greece for the beautiful islands. I know I would go back.
ha, now I got you! You are absolutely wrong, look at Germany's export numbers before and after the fix. Not much difference at all that can be attributed to the fix. And please don't tell us "but look 10 years later Germany exported much more than before the fix". Exchange rate variations feed into the system almost instantaneously, especially into purchasing power.
Next, if you look at a popular PPP model you will see that the same amount of dollars bought you a Big Mac before the fix and after the fix in Germany. Equally the differential between a Big Mac in Spain and Germany did not change much pre vs post fix. What are you talking about that the Euro was fixed too high vs the DM. Utter nonsense that is not supported by any empirical facts.
Next, you say "If there was no Euro, and when there was no Euro, German exports, based in high valued Deutsche Marks, were very expensive to the rest of Europe". Whatever your sense of "expensive" or "cheap" may be. Can you again look at certain products and how much Germany sold before and a year or 2 after the fix to, for example, Spain?
Next, if you look at a popular PPP model you will see that the same amount of dollars bought you a Big Mac before the fix and after the fix in Germany. Equally the differential between a Big Mac in Spain and Germany did not change much pre vs post fix. What are you talking about that the Euro was fixed too high vs the DM. Utter nonsense that is not supported by any empirical facts.
Next, you say "If there was no Euro, and when there was no Euro, German exports, based in high valued Deutsche Marks, were very expensive to the rest of Europe". Whatever your sense of "expensive" or "cheap" may be. Can you again look at certain products and how much Germany sold before and a year or 2 after the fix to, for example, Spain?