Europe in deepest recession since War as Germany suffers - Mercedes-Benz Forum

LinkBack Thread Tools Display Modes
post #1 of 3 (permalink) Old 05-16-2009, 10:06 AM Thread Starter
Jakarta Expat's Avatar
Date registered: Aug 2006
Vehicle: PM me to Join the Expat Muslims for Obama Club........
Location: Jakarta, Indonesia
Posts: 17,697
Mentioned: 0 Post(s)
Quoted: 3 Post(s)
(Thread Starter)
Europe in deepest recession since War as Germany suffers

Europe in deepest recession since War as Germany suffers

German economic policy is "bankrupt", economists have said.

German football fans in Castle Square, Stuttgart in June 2006
Not much to shout about: the sunny mood and days of the 2006 World Cup seem a long time ago as Germany has suffered increasing economic woes, including a record contraction in the first quarter of this year Photo: AP

The declaration was made as it emerged that Europe's biggest economy has now suffered a worse "lost decade" than Japan and is deeper in recession than any other major economy.

On a day of dismal news for the European economy, official figures also showed that Italy, Austria, Spain and the Netherlands are facing their biggest combined slump in post-war history, sparking warnings about the potential for social unrest throughout Europe.

Within hours, the managing director of the International Monetary Fund (IMF) warned that the global recession is far from over and that people must prepare themselves for more financial shocks. Dominique Strauss-Kahn said the world remains in the grips of a "Great Recession" and played down talk of "green shoots".

Germany's economy shrank by 3.8pc in the first three months of the year - a record contraction that is almost double the fall of Britain's gross domestic product in the first quarter. The figures sparked attacks on Germany's government, which has repeatedly shown reluctance to bail out either its economy or financial system.

In figures described by economists as "disastrous", Eurostat also reported that Italy shrank by 2.4pc, Austria and the Netherlands by 2.8pc, Spain by 1.8pc and France by 1.2pc. The statistics underline the fact that although Britain's financial system was badly hit in the early months of the crisis, the UK's economy has not fared as badly as its continental rivals, contracting by 1.9pc in the first quarter.

The sharp German contraction - the worst since the Second World War - follows news that the bill for bailing out its economy is likely to exceed the cost of re-unification in the years of austerity after the fall of the Berlin Wall. Economists said that the country's reluctance to move quickly to cut taxes and raise spending was largely to blame.

The export-reliant country has been hit hard as world trade nose-dived in the latter months of last year. Charles Dumas of Lombard Street Research said: "German economic policy is bankrupt, and the Mediterranean countries stuck in EMU are also condemned to ongoing economic collapse.

"Already we have real GDP levels that are up only about 3pc from 2000 in Germany and Italy – ie growth has been only a little over ¼pc a year – making this a lost decade for much of continental Europe on a worse scale than Japan in the 1990s."

Mr Strauss-Kahn, who was speaking in Vienna, said that although there were early signs of improvement in some of the economic surveys, the global downturn is not finished, with more financial shocks likely.

"This crisis is not yet over, and there will, in all likelihood, be further tests ahead," he said.

However, Mr Strauss-Kahn said the global economy would "almost certainly" avoid a crisis as severe of the 1930s Great Depression because of the co-ordinated action taken by world leaders.

"World leaders embraced multilateralism, and are reaping the rewards. Vehicles like the G20 were used to coordinate policies and deliver a unified message," he said.

The IMF has called for a global fiscal stimulus equal to 2pc of the world's gross domestic product.

Europe in deepest recession since War as Germany suffers - Telegraph

and then there is this....... / Europe - Germany drags eurozone faster into slump / Asia-Pacific - Hong Kong suffers record contraction / US / Economy & Fed - US prices fall most since 1955
Jakarta Expat is offline  
Sponsored Links
post #2 of 3 (permalink) Old 05-16-2009, 11:48 AM
Lifetime Premium Member
Shane's Avatar
Date registered: Aug 2002
Vehicle: And what was left was what was guilt was what u gave to me
Location: A cavalcade of strangers came to tear ur world apart
Posts: 41,520
Mentioned: 6 Post(s)
Quoted: 1726 Post(s)
Lifetime Premium Member
Maybe I can get some good deals there in a couple of weeks. Doubt it.
Shane is offline  
post #3 of 3 (permalink) Old 05-16-2009, 01:31 PM
BenzWorld Extremist
Megadiesel's Avatar
Date registered: Oct 2006
Vehicle: 1992 300SD, 1986 300SDL, 1995 E420
Location: FL
Posts: 884
Mentioned: 0 Post(s)
Quoted: 0 Post(s)
They need to start making the w126 again economy will be right back up.

"Guard against the impostures of pretended patriotism."

George Washington, Farewell Address, September 19, 1796

"All men having power ought to be mistrusted." James Madison

"If tyranny and oppression come to this land it will be in the guise of fighting a foreign enemy." James Madison
Megadiesel is offline  
Sponsored Links

  Mercedes-Benz Forum > General Mercedes-Benz Forums > Off-Topic

Quick Reply

Register Now

In order to be able to post messages on the Mercedes-Benz Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Please enter a password for your user account. Note that passwords are case-sensitive.


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:


  • Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
    Thread Tools
    Show Printable Version Show Printable Version
    Email this Page Email this Page
    Display Modes
    Linear Mode Linear Mode

    Similar Threads
    Topic Author Forum Replies Last Post
    W126 500SEL /Europe/Germany 300E Rida For Sale/Wanted/Trade/Giveaway 1 01-06-2009 08:36 PM
    Germany falls into recession Teutone Off-Topic 19 11-15-2008 05:24 PM
    FS 1937 Mercedes-Benz Pre-War 540 K Spezialroadster (Hamburg Germany) alwaysmercedes For Sale/Wanted/Trade/Giveaway 0 06-14-2006 04:07 PM
    300GE - 4 Sale in Germany / Europe 79percent G-Class 2 04-17-2006 10:45 AM
    import a G from Germany/Europe into the U.s.a. Eggert X164 GL-Class 3 03-13-2006 06:56 PM

    Posting Rules  
    You may post new threads
    You may post replies
    You may not post attachments
    You may not edit your posts

    BB code is On
    Smilies are On
    [IMG] code is On
    HTML code is Off
    Trackbacks are On
    Pingbacks are On
    Refbacks are On


    Title goes here

    video goes here
    description goes here. Read Full Story
    For the best viewing experience please update your browser to Google Chrome