Germany – Page 6 – artdiamondblog.com

Strong Global Support for Free Markets

Source of table: "World Publics Welcome Global Trade — But Not Immigration." Pew Global Attitudes Project, a project of the PewResearchCenter. Released: 10.04.07 dowloaded from: http://pewglobal.org/reports/display.php?ReportID=258

(p. A10) WASHINGTON, Oct. 4 — Buoyed and battered by globalization, people around the world strongly view international trade as a good thing but harbor growing concerns about its side effects: threats to their cultures, damage to the environment and the challenges posed by immigration, a new survey indicates.

In the Pew Global Attitudes Project survey of people in 46 countries and the Palestinian territories, large majorities everywhere said that trade was a good thing. In countries like Argentina, which recently experienced trade-based growth, the attitude toward trade has become more positive.

But support for trade has decreased in recent years in advanced Western countries, including Germany, Britain, France and Italy — and most sharply in the United States. The number of Americans saying trade is good for the country has dropped by 19 percentage points since 2002, to 59 percent.

“G.D.P. growth hasn’t been as dramatic in these places as in Latin America or Eastern Europe,” said Andrew Kohut, president of the Pew Research Center, referring to gross domestic product, the total value of the goods and services produced in a country. “But worldwide, even though some people are rich and some are poor, support for the basic tenet of capitalism is pretty strong.”

For the full story, see:

BRIAN KNOWLTON. "Globalization, According to the World, Is a Good Thing. Sort Of." The New York Times (Fri., October 5, 2007): A10.

UNO Protects Students from Cupcakes (Whether They Want to Be Protected, or Not)

Many years ago, I went along with a group of Exec MBA students to Germany. Among them was Bill Swanson. Bill had a sense of humor.

At some point in the trip, I spilled ketchup on my tie. Bill’s response was that normally a ruined tie would be sad, but given my tie, the ketchup was an improvement.

Yes, Bill has a sense of humor; so I’m hoping the story below is a joke.

That’s what I hope, but what I fear is that the story below is one more example of the inefficient, sometimes painful (like when an 8th grader can’t take aspirin to middle school), and sometimes funny, things that we are driven to do to protect ourselves from being sued, in an economy where congress has empowered personal injury lawyers to frequently sue for huge and unpredictable compensatory and punitive damages. (When Joe Ricketts, Ameritrade founder, spoke to my Exec MBA class a few years ago, he said that the biggest threat facing the U.S. economy was the proliferation of tort law suits.)

So it’s either a bad joke; or (most likely) it’s UNO protecting itself against every potential law suit; or it’s a third, and worse, alternative—which would be if the story below is to be taken at face value.

In that case we would have to conclude that some UNO staff have nothing better to do with their time than to paternalistically ‘protect’ young adults from a minuscule risk of illness from freely choosing to purchase and eat cupcakes being sold by fellow students to raise money for good causes.

Here is an excerpt from the page one, lead story, of the Sat., Oct. 6, 2007, Omaha World-Herald:

(p. 1A) Guns. Drugs. Bake sales.

What do these things have in common?

All have been banned at the University of Nebraska at Omaha campus.

Citing safety and health concerns, UNO last week prohibited selling homemade food items at campus fundraisers.

Officials said the prevalence of serious food allergies and the potential for contaminated food — either by accident or deliberately — led UNO to adopt the policy, which then drew complaints from student groups.

"The primary issue is the health of the students and the safety of the students," said Bill Swanson, assistant to the vice chancellor in the Career Exploration and Outreach Office.

No one on the UNO campus has reported problems with contaminated food purchased at a bake sale, Swanson said.

But there have been incidents around the country, he said, and those were enough to prompt a discussion among officials.

The decision has come under fire from students who say the restriction cuts off small student (p. 2A) groups from their primary fundraising source.

The Public Relations Student Society of America traditionally held bake sales once a month to raise money for national conferences, local business luncheons and volunteer work, said the group’s president, Katie Dowd.

The group raised about $1,500 a year hawking homemade baked goods donated by members.

"It’s a big blow to us," said Dowd, who called the potential for food contamination from her group’s offerings "very unlikely."

For the full story, see:

ELIZABETH AHLIN. "Goodies ban half-baked, UNO students say." Omaha World-Herald (Saturday, October 6, 2007): 1A & 2A.

Reagan’s “Crazy” Speech Inspired Lessig to Pursue the “Impossible”

Mr. Lessig has become the standard-bearer for those who see copyright law as too protective of original creators and too stifling of the artists who follow them. That position has made him the darling of those who want a relatively unfettered Internet, whether it be music sharers or online poem reprinters.

But it has also made him an opponent of many big media companies, including the Walt Disney Company, whose signature creation, Mickey Mouse, would have passed into the public domain years ago if not for a series of well-timed extensions to the law.

. . .

. . . , it might surprise many of Mr. Lessig’s supporters to find that his inspiration for his copyright work was Ronald Reagan.

“I heard George Shultz give a talk in Berlin on the 20th anniversary of Reagan’s ‘tear down this wall’ speech,” Mr. Lessig said. “It was very moving to be at this event. Many of the Germans in the audience were moved to tears. They said that at the time this happened, it was impossible to see this change happening.”

In recalling his thoughts on the possibility of communism falling, he said, “When I heard Reagan’s speech, I remember thinking, ‘boy, he is crazy,’ ” he said.

It is fair to say you can quote him on that.

For the full story, see:

NOAM COHEN. "LINK BY LINK; Taking the Copyright Fight Into a New Arena." The New York Times (Mon., July 2, 2007): C3.

“Total Freedom”

On Monday, May 28th, protesters at the G8 meeting in Hamburg, Germany protested for "Total Freedom" and against globalization. Source of this version of the banner picture: http://www.infoshop.org/inews/article.php?story=20070528131819740

A photo fairly similar to the one above was run in the print version of the NYT on Tuesday, May 29, 2007, but was not included in the online version. It appeared by itself, without an attached article. But, referring to the "Total Freedom" banner, it had the following wonderfully ironic caption:

Except, Perhaps, When It Comes to Trade

Thousands of protesters marched against globalization on Monday in Hamburg, Germany, where the Group of Eight industrialized nations will meet next week. After the largely peaceful rally, some protesters clashed with police and 21 were arrested. The rest, however, were totally free.

Source of the NYT version of the banner picture, and of the caption:

The New York Times (Tues., May 29, 2007): A3.

(Note: caption title was in bold, and in larger font than the body of the caption, in the original.)

Castro’s Legacy of “Death, Tears and Blood”

Like thousands of other Cubans, I was arrested in the middle of the night. Fidel Castro’s police raided my parents’ home, stuck a machine gun in my face and took me away. It was 1960 and I was 22 years old.

The news that the Cuban dictator is gravely ill floods my mind with memories of my years spent in captivity. I believe that those of us who were political prisoners know his legacy better than anyone. For 22 years, I was an inmate in his vast prison system, mostly confined to an island gulag, for crimes I did not commit.

. . .

The legacy of Castro for Cuba will be much like that of Stalin in Russia, Pol Pot and Ieng Sari in Cambodia and Hitler in Germany. It will be the memories of the unknown numbers of victims, of concentration camps, torture, murder, exile, families torn apart, death, tears and blood. Castro will go down in history as one of the cruelest of all dictators — a man who tormented his own people.

But his poisonous legacy will also include the double standard by foreign governments, intellectuals and journalists who fought ferociously against the unspeakable violations of human rights by right-wing dictatorships, yet applauded Castro. To this day many of these intellectuals serve as apologists and accomplices in the subjugation of the Cuban people. Rafael Correa, the recently inaugurated president of Ecuador, has declared that in Cuba there is no dictatorship. Evo Morales, president of Bolivia, considers Castro his mentor and has already shown that he is willing to silence his own critics at the point of a gun. Venezuela, once a democracy, is the new Cuba, replete with a growing population of political prisoners.

For the full commentary, see:

ARMANDO VALLADARES. "Castro’s Gulag." The Wall Street Journal (Mon., March 5, 2007): A16.

“Nuclear Energy is Suddenly Back on the Agenda”

The Belguim windmill looks nice, but the electiricty is produced by the nuclear plant in the background. Source of photo: online version of the NYT article cited below.

The latest word on energy, from the 2006 World Economic Forum at Davos, Switzerland:

. . . nuclear energy is suddenly back on the agenda — and not just here. Spurred on by politicians interested in energy independence and scientists who specialize in the field of climate change, Germany is reconsidering a commitment to shut down its nuclear power plants. France, Europe’s leading nuclear power producer, is increasing its investment, as is Finland.

At a time when industrialized countries are wrestling with how to curb carbon dioxide emissions, nuclear energy has one indisputable advantage: unlike coal, oil, natural gas, or even biological fuels, it emits no carbon dioxide. That virtue, in the view of advocates, is enough to offset its well-documented shortcomings.

“It has put nuclear back into the mix,” said Daniel C. Esty, director of the Center for Environmental Law and Policy at Yale University. “We’re seeing a new balancing of the costs and benefits.”

For the full commentary, see:

MARK LANDLER. "Europe’s Embrace; With Apologies, Nuclear Power Gets a Second Look." The New York Times, Section 4 (Sun., January 28, 2007): 3.

(Note: ellipsis added.)

Communists Import Giant Rabbits to End Starvation in North Korea

Apparently the North Korean Communist government’s plan to end starvation in North Korea, is to import and breed giant German rabbits. If they were really serious, they would do better by respecting property rights, and embracing the free market.

EBERSWALDE, Germany — Few people raise bigger bunny rabbits than Karl Szmolinsky, who has been producing long-eared whoppers since 1964. His favorite breed, German gray giants, are the size of a full-grown beagle and so fat they can barely hop.

Last year, after the retired chauffeur entered some of his monsters in an agricultural fair, word of his breeding skills spread to the North Korean Embassy in Berlin. Diplomats looked past the cute, furry faces with the twitching noses and saw a possible solution to their nation’s endemic food shortage: an enormous bunny in every Korean pot.

The North Koreans approached Szmolinsky in November and asked whether he’d advise them on how to start a rabbit breeding program to help "feed the population," the 67-year-old pensioner recalled in an interview at his home in Eberswalde, an eastern German town a few miles from the Polish border. Sympathetic to the Koreans’ plight, he agreed to sell some of his best stock at a steep discount and volunteered to travel to the hermetic nation as a consultant.

. . .

In December, Szmolinsky stuffed six of his rabbits into modified dog carriers and took them to the airport in Berlin, where they boarded a flight for Pyongyang, via Frankfurt, Germany, and Beijing. Robert, a 23-pounder, was the largest of the bunch, which included four female rabbits and one other male carefully selected for their breeding potential.

How, exactly, the Democratic People’s Republic of Korea intends to parlay the small herd of German Flopsies into hunger relief for its 23 million citizens is unclear.

For the full story, see:

Craig Whitlock. "A Colossal Leap of Faith In Fight Against Famine North Koreans See Potential in German Breeder’s Giants." The Washington Post (Friday, February 2, 2007): A10.

(Note: ellipsis added.)

A giant German rabbit. Source of photo: http://www.spiegel.de/img/0,1020,774187,00.jpg

German Brain Drain

Engineer Benedikt Thoma is moving his family to Canada from Germany for a brighter future. Source of photo: online verion of the NYT article cited below.

ESCHBORN, Germany, Feb. 3 — Benedikt Thoma recalls the moment he began to think seriously about leaving Germany. It was in 2004, at a New Year’s Day reception in nearby Frankfurt, and the guest speaker, a prominent politician, was lamenting the fact that every year thousands of educated Germans turn their backs on their homeland.

“That struck me like a bolt of lightning,” said Mr. Thoma, 44, an engineer then running his family’s elevator company. “I asked myself, ‘Why should I stay here when the future is brighter someplace else?’ ”

In December, as his work with the company became an intolerable grind because of labor disputes, Mr. Thoma quit and made plans to move to Canada. In its wide-open spaces he hopes to find the future that he says is dwindling at home. As soon as he lands a job, Mr. Thoma, his wife, Petra, and their two teenage sons will join the ranks of Germany’s emigrants.

There has been a steady exodus over the years, but it has recently become Topic A in a land already saddled with one of the most rapidly aging and shrinking populations of any Western nation. With evidence that more professionals are leaving now than in past years, politicians and business executives warn about the loss of their country’s best and brightest.

. . .

. . . , there is plenty of anecdotal evidence that Germany has become less attractive for people in fields like medicine, academic research and engineering. Those who leave cite chronic unemployment, a rigid labor market, stifling bureaucracy, high taxes and the plodding economy — which, though better recently, still lags behind that of the United States.

. . .

In Mr. Thoma’s view, the root of the problem is [that] . . . Germany, . . . , has a “blockage” in its society.

“Germans are so complacent,” he said, sitting at the dining table in his neat-as-a-pin home here. “They don’t want to change anything. Everything is discussed endlessly without ever reaching a solution.”

As an example he cites the stalemate between his family’s firm and its 89 employees. After the firm became unionized, he said, the two sides began bickering over wages and working conditions.

With much of his 80-hour workweeks eaten up by those disputes, Mr. Thoma said he had developed high blood pressure and other ailments. He told his brothers he was burned out and ready to leave.

For the full story, see:

MARK LANDLER. "Germany Agonizes Over a Brain Drain." The New York Times (Tues., February 6, 2007): A10.

(Note: ellipses added.)

Source of graphic: online verion of the NYT article cited above.

German Opera House “Falling On Its Knees Before the Terrorists”

"A scene added to “Idomeneo,” shown in a 2003 rehearsal, includes Muhammad and other religious figures." Source of photo and caption: online version of the NYT article cited below.

(p. A1) BERLIN, Sept. 26 — A leading German opera house has canceled performances of a Mozart opera because of security fears stirred by a scene that depicts the severed head of the Prophet Muhammad, prompting a storm of protest here about what many see as the surrender of artistic freedom.

The Deutsche Oper Berlin said Tuesday that it had pulled “Idomeneo” from its fall schedule after the police warned of an “incalculable risk” to the performers and the audience.

. . .

Political and cultural figures throughout Germany condemned the cancellation. Some said it recalled the decision of European newspapers not to reprint satirical cartoons about Muhammad, after their publication in Denmark generated a furor among Muslims.

Wolfgang Börnsen, a culture spokesman for Chancellor Angela Merkel’s conservative bloc in Parliament, accused the opera house of “falling on its knees before the terrorists.”

For the full story, see:

JUDY DEMPSEY and MARK LANDLER. "Opera Canceled Over a Depiction of Muhammad." The New York Times (Weds., September 27, 2006): A1 & A12.

(Note: ellipsis added.)

Labor Market Flexibility Increases Employment and Prosperity

“France is definitely behind,” says William Keylor, professor of International Relations and history at Boston University. “If France were to create a more-flexible labor market it would eventually increase productivity and prosperity, but the short-term transition would be difficult and people just aren’t thinking long term.”
There have been labor changes across continental Europe recently. Denmark’s measures to liberalize hiring and firing have helped the country cut its unemployment rate in half from about 10% in the early 1990s to under 5%. Spain, too, has introduced short-term employment contracts which have helped cut its unemployment rate by more than half from 20% a decade ago.
But elsewhere, attempts at change have met with staunch opposition, often resulting in watered-down measures. Italy passed changes to its labor laws in 2004, introducing an extension of temporary-work contracts that were introduced in 1997 and were credited with helping cut Italy’s overall unemployment rate to 7.1% from 12% when the contracts began. Yet many economists say Italy, which recorded zero growth last year, hasn’t gone far enough.
In Germany, where unemployment stands at 11%, a coalition government headed by conservative leader Angela Merkel has promised to reduce unemployment by introducing similar measures to those hotly debated in France. The government had to settle on compromise measures that can extend a current probation period for workers to 24 months, from the current six. But companies don’t have the right to terminate contracts within those two years without giving just cause. Other, more difficult, provisions, are still on hold.
The new measures that will be introduced in Parliament as early as today are targeted at “disadvantaged” youths, which refer to people between 18 and 25 who have left school without any qualifications and who are unemployed. The provisions include increasing financial incentives to employers to hire people under 26 who face the most difficulties.
It would apply to some 160,000 young people currently hired under government-subsidized job contracts, according to an interview with Employment Minister Jean-Louis Borloo in an interview with Le Monde newspaper. The cost to the government would be around €150 million ($180 million) in the second half of 2006, Mr. Borloo was quoted as saying.
But economists said the change of tack was a bad signal. “The real problem is that the results obtained by opponents of the new law…show that it is very difficult to introduce reforms in France,” Dominique Barbet, economist at BNP Paribas, wrote in a research note. “This will give opponents of reform confidence for future actions.”

For the full story, see:
ALESSANDRA GALLONI. “Bowing to Protesters, Chirac Abandons Youth-Labor Law; Reversal Highlights Europe’s Difficulties With Painful Reforms.” The Wall Street Journal (Tues., April 11, 2006): A3 & A10.
(Note: the title and version of the article quoted here are from the online version. The title and content of the version in the printed paper was a little different in a couple of places.)

EU Free Market Undermined by National Protectionism

BRUSSELS — After French and Dutch voters killed the EU constitution last year, its framers fretted that Europe couldn’t function without their bloated document. That was always laughable. But driven by economic insecurity, those failed referendums, particularly in France, ended up calling into question the very foundation of the EU, a common and free market.
It didn’t take politicians long to take this message to heart. In recent weeks, the idea and reality of a single European market has come under threat. From France to Spain, from Luxembourg to Italy and even newcomer Poland, economic nationalism is gaining strength, evoking memories that the European project was created expressly to bury. Neelie Kroes, the EU’s competition commissioner, told me that these developments “risk taking Europe into a 1930s-style downward spiral of tit-for-tat protectionism.” This sensible Dutchwoman is not prone to hyperbole, and hardly alone in voicing the concern.
This winter, France made 11 sectors, from data security to (bizarrely) casinos, off limits to foreign buyers. And together with Luxembourg, Paris opposed a mooted merger between the world’s biggest steel companies, Mittal and Arcelor. (The protectionist furies so far haven’t managed to sink Mittal’s hostile bid.)
Prime Minister José Louis Rodríguez Zapatero also wants to keep the energy sector in Spanish hands. When Germany’s E.On moved to trump a rival Spanish bid from Gas Natural for the utility Endesa, Mr. Zapatero gave the regulator wider powers to block the takeover.
The most audacious national block was yet to come. Two weeks ago, France stepped in to stop Italy’s Enel from acquiring Suez by forcing through a shotgun wedding between the publicly owned Suez and state-owned Gaz de France. This tie-up epitomized Prime Minister Dominique de Villepin’s notion of “economic patriotism.” The Italians saw only economic protectionism, which the country’s central bank governor, Mario Draghi, said was “doomed to failure.” But Rome can’t easily claim the moral high ground, having shielded its banking sector for more than a decade.
The single market isn’t doing well on other fronts either. Last month, the European Parliament, with lawmakers following orders from their capitals, emasculated legislation that would have freed up the EU’s services market. A free market for services, by some estimates, would have added 0.7% to Europe’s GDP and created some 600,000 jobs.

For the full commentary, see:
DANIEL SCHWAMMENTHAL. “Common Market? Think Again!” The Wall Street Journal (Mon., March 13, 2006): A19.