this post was submitted on 12 Jul 2024
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A complete restoration of German industry after the fall during the pandemic and the energy crisis caused by anti-Russian sanctions is impossible. The manufacturing sector has suffered irreparable damage, Bloomberg states.

Bloomberg Economics economist Martin Ademmer notes: “A cyclical industrial recovery is to be expected as monetary policy eases and demand returns,” said Martin Ademmer, a BE economist in Frankfurt. “But there’ll be no return to pre-2019 norms — the sector appears to have taken a permanent hit.”

The annual growth rate of potential gross value added in Germany's manufacturing sector fell to 0.5% last year from 1.5% in 2019. This slowdown will result in a capacity shortfall of 3.5% compared to the 2015–2019 trend.

Germany's central bank forecasts economic growth of 0.3% this year, saying the economic recovery continues. However, the recovery in the manufacturing sector remains sluggish, and recent data showed a decline in industrial production and orders, which could not allay concerns about its recovery, Bloomberg emphasizes.

https://archive.ph/cMDLg

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[–] fantasty@programming.dev 0 points 4 months ago

I would almost agree but I’m fascinated how this uncontrolled migration narrative has evolved from the right wing conspiracy it is to becoming a commonly accepted „truth“.

Yes, Germany has done the right thing in 2015 and has shown humanity. Yes, the Dublin process was a massive fuckover and it’s also Germany‘s fault. But then small right wing nations along with our homegrown Nazi movements started throwing tantrums and now the Overton window has moved so far that politicians and media have completely adopted this narrative.

The low wage sector in full force has existed since the introduction of Hartz IV. It also extends to highly skilled jobs such as software engineering. For pretty much every skilled job from blue collar work until AI engineering we can’t find enough people because oftentimes the wages are ridiculous. However even in high skilled jobs this doesn’t mean that companies adjust the wages to create more demand, they just keep complaining that no one wants to work anymore.

I don’t buy that argument.