Why Germany’s Economy is in Trouble

Germany used to be the the dominant economy in Europe, and while the title is still within its grasps, Germany is struggling and slipping compared to other world economies. So let's uncover what's happening to their economy & if Germany's falling behind

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[Marynando]

I'm not even kidding when I say that the market crash and high inflation have me really stressed out and worried about retirement. I've been in the red for a while now and although people say these crisis has it perks, I'm losing my mind but I get it, Investing is a long-term game, so I try to focus on the long term.

[jeffjohnson]

Key point you missed is that Germany's population demographics are trending to more an aged society which means their domestic economy can't consume what they produce, which makes them reliant on exports. They don't have enough people 20yrs to 40yrs old that are what drives a domestic economy.

[Doso]

Media sites all year: Germany about to collapse, mega super crash. German GDP: Doesn't do anything.

[donaldwatson]

Honestly, I'm unsure if investing is a wise move right now. Take note of how frequently things fail. As I still have some time before I retire, I'm still looking for a better strategy to invest my money despite reading charts and predictions from well-known investors from the past and present. In order to generate passive income, I want to build a solid and reliable portfolio.

[ianthehuman]

The writers may make mistakes but the animator suuure did a great job!

*I see you animator, I see you*

[no_name]

Lol as an italian, germany failure still looks better than italy right now

[PandaGamingBE]

THE WRITER MISSED STUFF BUT THE ANIMATOR DID A GREAT JOB!!

[Pointi]

Economic is always going up and down. No country has always a rising economy.

[Skylla]

As a german
"Ehh yeah ... we figure it out ... somehow ... could be tricky, but yeah whatever ... a new decade a new challenge😵‍💫👍"

[ionnanskilliorus]

Growth isn't a singular measurement that determines how well a countries economy is doing. The starting point of said growth is the most important factor. If you're doing really well and selling lots anyway, then growth is harder than it would be from a lower point. Pretty confident Germany will find a way out of this though, they have a knack of succeeding.

[joecaruso]

Even while I think that economic downturns are inevitable and that growth and recession are associated, it is time to reconsider the policies that are to blame, particularly in light of the ECB's recent rate hikes and efforts to make it more difficult for the average person to repay loans. In either case, I'm glad I'm not long on the euro or a European asset. Any take on the dollar bounce back?

[theotherohlourdespadua]

The YT channel Good Times Bad Times has an excellent video on why the German economy isn't doing so good these days, namely their overreliance on the policy of trade being a prerequisite to peace ala pre-WW1. The German government, especially under Angela Merkel, hoped that intertwined international trade and commerce makes Europe and itself safer. German foreign policy before 2022 was essentially on autopilot until the war in Ukraine and the trade war with PRChina have them scramble for a solution...

[QwoaX]

We successfully lost two world wars and managed to bounce back each time. What's happening now is nothing in comparison. You know what they say: What doesn't kill you makes you stronger...

[Kevin-sebg]

There was an article published the same day that said the German Recession will be milder than expected and will bounce back in 2024.

[svengrot]

Depending on what you spend your money on.. INFLATION IS PROBABLY HIGHER THAN 9.3% FOR YOU! A 9.3% CPI means cash is losing 50% of its buying power every 10 years. If you’re not investing your money, delayed gratification will do nothing to help you financially. Saving your money instead of investing it means your wealth is being transferred to people who own assets.

[Ludix]

tbh from the inside Germany doesn't feel like a grown-up country. So many things are clearly suboptimal. The most obvious one: we have not been able to implement digital processes in public administration. It's too much work to get anything approved.
Also, like many places, we have a severe housing crisis, and we're managing the energy transition badly.

[CMDRScotty]

You have overlooked automation in Japan and Germany. Historically the two nations have been neck and neck in automation. Over the past decade, nations like S. Korea and Singapore have surpassed Germany in the implementation of the deployment of new technology. Another factor would be how well they adapt Artificial Intelligence to their jobs and business.

[tilli]

I think that we should not forget about Africa. They are a big future trading partner with neutral relations to europe and I think theese countries and germany would have big benefits from trading with each other. Also, another reason why the german Economy isn't doing as well, is probably because we never really entered the software market wich has obviuosly been doing good in the last couple of years.

[MF-fdug]

as a german who sees how things are in germany a book called "why germans do it better" is absolutely hysterical

[DudeStone]

At least Germany squashed their coup in a week in America we're still waiting almost 2 years later to round up anyone smh