- Patriot Act author on James Clapper: Fire, prosecute him
- Russia P.M. Medvedev: No amnesty for political prisoners
- Michigan GOP Senate hopeful reminds government is the ‘servant’
- Christmas, by Congress: Members mull a 15-cent tax on trees
- U.S. unemployment falls to five-year low of 7 percent; 203K jobs added
- World mourns Nelson Mandela and celebrates his life; burial set for Dec. 15
- Bill O’Reilly reminds: Nelson Mandela ‘was a communist’
- John Boehner says GOP should support gay candidates: ‘I do’
- Grass-Whopper: Pan-fried cricket burgers go over big in New York City
- CDC sees measles spike and ‘failure to vaccinate’
Germany ‘has to do as much as we can’
But, businessman says, nations need more than cash to get back on track
Germany is well-positioned to help its neighbors emerge from the eurozone crisis, but throwing money at the problem can only do so much to help, a top German businessman told a gathering at a Washington think tank Monday.
Speaking to the Peterson Institute for International Economics, Hans-Peter Keitel, president of the Federation of German Industries, said Germany feels a sense of responsibility for helping countries, including Greece, Italy and Spain, recover from the crisis.
“Germany is the only one in a position [to help],” he said. “We have to do as much as we can to bring Europe back into excellent shape.”
That may not be so easy. Germany historically has favored tight money policies, has prioritized keeping inflation low and has produced high savings and investment rates, while many other eurozone nations, especially in the southern part of the continent, have pushed the opposite.
But after decades of government overspending, Mr. Keitel said these countries need more than just money to get back on the right track.
“They will ask each and every day for more money,” Mr. Keitel said. “In the long run, it’s the European economy itself which has to become competitive in world markets.”
“I’m not against financial umbrellas,” he added. “But we have to clearly acknowledge these are not the final solutions. These are solutions on the way to get back to competitiveness.”
“We are asking for the possibility to invest private capital, to invest our brand, to be innovative,” he said.
Moreover, Germany’s market needs to stay open for business to benefit other European nations.
And while the German economy may be doing well now, it relies on other strong European markets for exports. As the eurozone crisis drags on, this business model is threatened.
He suggested public-sector consolidation and growth will both have roles in lifting the eurozone out of its crisis.
“We all know that we have to do both,” he said. “Consolidation has to reduce the sovereign debt. On the other side, there is no consolidation” without a return to economic growth.
“Either Europe plays a role as a whole, or none of the countries play a role,” Mr. Keitel said.
© Copyright 2013 The Washington Times, LLC. Click here for reprint permission.
About the Author
Tim Devaney is a national reporter who covers business and international trade for The Washington Times. Previously, he worked for the Detroit News, Grand Rapids Press, Portland Press Herald and Bangor Daily News. Tim can be reached at email@example.com.
- General Motors ending Chevrolet sales in Europe to focus on Opel and Vauxhall
- 'Momentous day' for in-debt Detroit
- Cyber Monday, Gray Thursday reflect sales shift
- Bye, bye American pie? China wants in on the U.S. apple market.
- Deal with Iran can mean lower prices at gas pump
Latest Blog Entries
- Spike in battlefield deaths linked to restrictive rules of engagement
- Activists urge Obama to go rogue, sidestep Congress
- Bill OReilly reminds: Nelson Mandela was a communist
- PRUDEN: British press horrified as London's new mayor dares to proclaim the truth
- Obama administration issues permits for wind farms to kill more eagles
- 'Hunger Games' delivers Obama's message on income inequality
- U.S. pilot scares off Iranians with 'Top Gun'-worthy stunt: 'You really ought to go home'
- MILLER: Obamacare enrollees include 101 members of the House of Representatives
- Obama downplays IRS scandal, blames Obamacare rollout on 'outdated' agencies
- Inside China: Nuclear submarines capable of widespread attack on U.S.
Independent voices from the The Washington Times Communities
A politically conservative and morally liberal Hebrew alpha male hunts left-wing viper
This column will cover anything that has anything remotely to do with the game of baseball, from the game itself to mid-summer trades to offseason moves.
Entertainment News and Reviews from Washington, D.C. and beyond.
Political satirist and Christian apologist Bob Siegel discusses religion and politics.
White House pets gone wild!