As Greece’s exit from the Euro appears more likely, the draconic and heartless Germans are being raked over the coals throughout Europe. Germany’s stingy Merkel refuses to lend a helping hand to a drowning neighbor. Merkel and her austere Germans are not real “Europeans.” Were it not for the Germans, Greece would have its stimulus, which it would promise to pay back when it is out of danger – sometime far down the road.
If you really want to understand the Germans, think of Texas and California. Texas must constitutionally balance its budget. A state official estimates forthcoming revenue, and the legislature must trim spending accordingly. Texas makes minimal use of gimmicks; it makes real cuts when cuts are necessary. California also must balance its budget, but it does not. It uses extreme gimmicks to overstate anticipated revenue and spending cuts that will not take place.
Compared to Texas, California is a spendthrift, spending fifty percent more per capita than Texas. Despite much lower state spending, Texas seems to do quite well. It attracts the jobs California is losing.
Imagine the reaction if some higher authority told Texas to pay for the shortfall in California’s budget? This is exactly what the Californias of Europe and European Union bureaucrats are demanding of Germany. Germany’s reaction is exactly that of Texans to bailing out California.
Thanks but no thanks.