Thread: German minister says full employment 'possible soon'

25 November 2010 Last updated at 07:06 ET

German minister says full employment 'possible soon'

Germany is helping to drive the economic recovery in Europe

Germany's economy minister Rainer Bruederle has given an upbeat assessment of his country's recovery, including the assertion that "full employment will soon be possible".

He said that Germans were "doing well and spending again", and that domestic consumption was strong.

Data released this week showed German business confidence at a 20-year high.

German optimism is in marked contrast with the gloom engulfing some European economies struggling with high debts.

The euro has fallen by more than three cents against the dollar this week on fears that the Irish debt crisis may spread to other European countries with high budget deficits, such as Portugal and Spain.

The Irish Republic is negotiating with the European Union and the International Monetary Fund over a rescue package expected to be worth about 85bn euros ($113bn; £72bn).

Domestic growth

But despite the fact that many Germans are unhappy they will be contributing the bulk of the bail-out, Mr Bruederle said confidence had returned following the global recession.

"Germans are in an expansionary mood. We're investing again, we're consuming again, people are doing well and people are spending again," he said.

He added that domestic demand was now contributing more than half of the country's economic growth, while "the council of economic experts say next year 90% of growth will come from the domestic economy".

This is significant given that Germany is the world's second-largest exporter.

Mr Bruederle also said the German job market was in good health.

"There are fewer than three million unemployed now, down from five million. Even the number of long-term unemployed is now decreasing, which has never happened in the past," he said.

"I'm convinced that full employment will soon be possible."

The German economy grew by 0.7% between July and September compared with the eurozone average of 0.4%.

This followed record growth of 2.3% in the previous three months.

http://www.bbc.co.uk/news/business-11838365

I would also like to point out, the Germans do NOT outsource their manufacturing jobs. The govt., business and labor all work together to keep jobs at home. This keeps people employed at good wages, with benefits.

Our govt, both Ds and Rs, do the opposite. Our govt. supports the outsourcing of any job. If you don't believe me, just write them a letter and ask the govt. to take a neutral stance.

I attended a seminar at a small manufacturing plant in Urbana, OH. They had hired an experienced CEO, from Germany. He was trying to strengthen the company. He was disgusted with the way the American govt. actively supports the outsourcing of jobs.

The stock market also reflects this "upside down" scam. When a company announces a layoff or restructuring, the stock price goes up. If an American plant is closed and relocated to China, the stock price goes up.

So, any politician that says, "Things are great, the stock market is up", is doesn't realize a good day on wall street, is a bad day on main street.
If he does realize it, he's working for the U.S. Chamber of Commerce, not the average American.