"Since 2003, it's not China but Germany, that colossus of European socialism, that has either led [View all]
the world in export sales or at least been tied for first. Even as we in the United States fall more deeply into the clutches of our foreign creditors -- China foremost among them -- Germany has somehow managed to create a high-wage, unionized economy without shipping all its jobs abroad or creating a massive trade deficit, or any trade deficit at all. And even as the Germans outsell the United States, they manage to take six weeks of vacation every year. They're beating us with one hand tied behind their back."
European social democracies -- particularly Germany -- have some lessons and models that might make life a lot more livable. Germans have six weeks of federally mandated vacation, free university tuition, and nursing care. But you've heard the arguments for years about how those wussy Europeans can't compete in a global economy. You've heard that so many times, you might believe it. But like so many things, the media repeats endlessly, it's just not true.
Americans don't know how things actually work in European countries. For many people the fact that Germany is neck and neck with China as the number one exporting country -- give or take the rise and fall of currency - must be mind blowing. Even progressives in America don't look overseas for models that work. I find it almost pathological that our exceptionalism infects even those who assume they don't believe in it.
Many Americans think that we've got a trade deficit because we can't compete with China. We've got a trade deficit because we can't compete with Germany in selling things to China. Until people wake up and look at the kinds of things that the Germans are doing to keep their manufacturing base, we're going to continue to run deficits which leave us in the clutches of foreign creditors and compromise our autonomy as a country.
Even progressive Democrats don't have the sophistication of their counterparts on the left in France and Germany in terms of understanding how important it is not to run up a national debt. Here we march against Mexico and put up tariff walls. They don't do that in Europe, they're not that unsophisticated.
http://www.alternet.org/economy/why-germany-has-it-so-much-better-us
Wages in Germany are comparable to and in some industries exceed those of American workers. Germans of course have much stronger unions and social services.
Germany trades with China much more than the US does. Trade with China is a 50% larger part (4.8%) of the German economy than it is in the US (3.2%).
= new reply since forum marked as read