Germany Has Powered Europe’s Economy. What Happens When Its Engine Stalls?
The economic woes afflicting the region’s biggest economy will drag down the region, despite growth in countries like Greece, Portugal and Spain, analysts say.
Sorry, but the starting premise — that Germany helped troubled European economies power their way out of the slump — is all wrong. Spain, Greece etc. were forced to reduce their deficits, but Germany bore *none* of the corresponding adjustment 1/
Buoyed by tourism, booming construction and steady job growth, European countries like Greece, Portugal and Spain are helping to offset Germany’s weak economic performance. But will it be enough?