Tag Archives: Merkel

Germany – a post-modern Cinderella?

A few days ago, Germany (well most of it) celebrated 25 years of unification. In 1990, the former East-German GDR was incorporated into the West-German Bundesrepubik (FRG). A national spring was promised, however a lot of investment a troubles lay ahead.

Externally, German regained its full sovereignty in a period where global flows were superseding sovereignty more and more. But, after a quarter of a century of growing into a new role, it appears Germany is now being viewed differently. In the Eurocrisis, Germany played the roles of the older brother and the villain. In the refugee crisis, it took a lead as well, without really knowing where to go. Since 1990, German troops were deployed abroad for the first time post-WW2. Despite this, it resisted agreeing with military actions against Iraq and Libya. In the 5 + 1 (or 3 + 3) format, Germany was part of the possibly successful Vienna agreement on Iran, and it also inspired the Normandy format, achieving a Minsk agreement (however shaky) on regulating the Russia-Ukraine crisis. Furthermore, it may become part of a new 3+3+3 process on Syria despite not being a permanent member of the UN Security Council. Finally, the country also did not shy away from conflict with the US on issues of data protection.

Still, doubts are lingering. Some are welcoming a greater German role in global politics, yet others are skeptical. Some are calling for Germany to accept more responsibility, while others think there is already too much of it.

What should the proper message to the Germans be in year 25? What do you wish them to do?

By Prof. Dr. Klaus Segbers – Program Director of the Center for Global Politics

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In a world economy where all BRICS are weak or weakening, where Japan is combating its crisis, and only the U.S. has significant growth rates, the weakness of the Eurozone is worrying. What should be done?

The new EU Commission finds itself in the middle of a shooting-out between two increasingly outspoken camps: Should growth be stimulated by quantitative easing, and by state-induced spending programs? Or should austerity policy be continued, accompanied by structural reform in the southern EU countries? This is indeed a question that indicates a divide – mostly between Germany, Finland and the Baltic countries in the second groups, and most of the others in the first. The problems of France and Italy to push their budget deficits below the 3 per cent limit of annual debt against GDP. The southern governments not only encourage themselves, but also Germany to increase spending, forget about balancing the budget (to be reached in Germany in 2015 for the first time in decades), and instead start spending and investing into infrastructure and other goodies. A related fight is going on in the ECB, where a majority supports the line of Mario Draghi to do “whatever it costs” to save the Euro, against some other central bank governors criticizing the lax attitude of the ECB, buying very questionable state bonds ignoring their market value.

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