Friday, February 13, 2009

The Germans never learn

After the First World War, the German government, although very weak, pretty much did everything wrong. Among other things it tried to use government spending and to borrow money to help the country to cope with inflation and the poverty. The allies idiotic imposed war debt towards the Germans didn’t help much either. And with the gold standard gone or going away and the ever increasing protectionism it lead to the big financial crisis which in turn made room for that Austrian painter we all come to love.

With Obama Bin Laden doing his best to increase the today’s crisis on the other side of the Atlantic todays German government does not want to be lesser. They have issued a spending spree for the amount of 50 billion Euros. Almost all of this money is borrowed, letting future generation pay for its idiocy. But worse still is that the Germans are making the same mistake as the Americans. They are using more fictive money to fuel a fire that has started mostly because of the same fictive money. People (and more to the point: the governments) have been and are spending money they do not have. Even worse than that, they are spending it on consumption. Consumption of gods and things that have been produced by fictive means through government subsidiaries or government contributions.

Too bad the German Wermacht isn’t up and ready. You can always trust them to make a bad situation worse. But again the world is set. All we need now is a couple of dictators and some spark to get things going. Oh… that’s reminding me. I need to get popcorn. The show will probably not start yet for a couple of years, but popcorn might be a rarity by then and you cannot watch all the fun without that.

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