Germany's economy is on the brink – and a hapless Chancellor Scholz has no answers [Yahoo! Finance]
BASF SE S/ADR (BASFY)
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Source: Yahoo! Finance
In some parallel universe, it is possible that a controversial paper on how to rescue the German economy put forward by Christian Lindner, the country's finance minister, last week would have been unanimously accepted by the governing coalition in Berlin. Unfortunately, however, not in this one. Instead, the hapless Chancellor Olaf Scholz has presumptuously rejected it. The result? The government may well fall – and with the economy already on the brink – that will trigger a full-blown crisis. No one can deny that the German economic model, until recently lauded by liberal-Left as the example that everyone else should follow, is now in deep trouble. It may have technically dodged a recession last week, eking out growth of 0.2pc in the third quarter of the year, compared to a 0.1pc decline in the previous three months – but that was hardly a cause for celebration. The country has now been stagnant for two years, inflation is rising again, ticking up to 2.4pc last week, and unemploym
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