Germany's economy is in the dumps. Here are 5 reasons why

When German economy fall, what left from Europe? Spain, Italy and Greece economy?

A deep state of malaise with problems on all fronts. The blame goes to Merkel more than any other person, for her neo-lib, pro-globalization, mass-immigration, Russia- and China-dependence policies. The same thing in Canada under Trudeau, where 70% of residents believe the country is broken.

Two useful idiots for the right wing populist politicians as they ascend in power.

Moscow's decision to cut off natural gas supplies to Germany in the wake of Russia's invasion of Ukraine dealt a severe blow

Wasn't this US-driven sanctions? Its clear that there was also US involvement in blowing up Nordstream.

The story describes a failure to invest in infrastructure, but it sounds like German companies are the same. People have been complacent and living too high on the hog. Boomers awarding themselves high pensions and not investing enough in the economy to create the capacity needed to support them etc.

Moscow's decision to cut off natural gas supplies to Germany ....

No exactly true. Germany decided it would not buy cheap Russian gas so shot itself in the foot.

How are those sanctions working out?

Merkel or how to kill a working fine economy into rumble because of non-sense about nearly every subject with no accountability ever. This is Europe in general.

Spain is foĺlowing the same path in the next years. Mark my words.

Germany grew complacent during the good times and put off investing in long-term projects such as rail lines and high-speed internet.

Err, so why were the last five years special?

The government balanced its budget and sometimes ran surpluses off the tax revenue from a booming economy. 

Fantastic! Japan, the U.S. could use some of this.

Let private capital invest in stuff that it seems worthwhile to the investors. If they lose the money it was their loss.

Lengthy approval procedures and too much paperwork are a drag on the economy, according to Germany companies and economists. Securing a construction permit for a wind turbine can take years. 

So could this be why things “can take years”? I guess so, as that’s what it says, and not the governments fiscal rectitude.

Shutting down nuclear and going full greeny seems to have been poor decision also.

Germany has prospered since way back to Merkel due to southern Europe dragging down the value of the Euro and making German exports artificially cheaper. German companies that reinvested still have compelling products, like Zeiss lenses that are still essential for chip production, but others didn't and don't.

You don't have to look any further than the German car industry who put their energy into devising ways to defeat emissions tests in the US instead of investing to make their cars better.

Brexit was also a free gift to Germany but not one they have done much with.

Someone put a hole in the Nordstream pipeline, so even if Germany wanted the gas, they couldn't get it. It wasn't Germany, it wasn't Russia.. Quite a mystery...

But sure those sanctions are really damaging the economy.... of Germany, not Russia.

HopeSpringsEternalToday 06:39 pm JST

Naturally, Ukraine proxy war not exactly the fault of any German PM

Naturally. Since it isn't a proxy war, but a unilateral war of conquest by Putin.

Mr KiplingToday 01:19 pm JST

Germany decided it would not buy cheap Russian gas so shot itself in the foot.

There is the small matter of Germany not wanting to reward a dictator that started the biggest war in Europe since WWII.

Strange that you discount that part of the equation.

Mr KiplingToday 05:48 pm JST

But sure those sanctions are really damaging the economy.... of Germany, not Russia.

Oh, the sanctions are damaging Russia's economy very nicely.

isabelle..

There is the small matter of Germany not wanting to reward a dictator that started the biggest war in Europe since WWII. Strange that you discount that part of the equation.

No, I covered it....

Germany decided it would not buy cheap Russian gas so shot itself in the foot.

Being the concubine of US in Europe brings its own consequences..