German corporations have helped boost their economy by 2.
2% growth in mid-2010.
This was hailed as good news in the Eurozone, and may help boost future investment in Germany itself.
But are these figures real? What is the truth behind the "made in Germany" label? Europe in 2010 faces sluggish growth, and in the case of Greece and Spain- negative growth.
Then came the good news, Germany's was exporting itself out of trouble and posted the best quarterly growth since reunification.
This brought smiles in the corridors of the European Union, and relief from Europe's embattled bankers.
How True is this Growth? In business circles it has long been known that Germany sells its "Made in Germany" label to other countries who want to add value to there products.
This is known as a "tinker economy" to economists, selling other peoples goods under your own name.
Today, nothing much has changed, except goods are being shipped in greater numbers from outside German borders- as our economies slowly move again.
These goods arrive in Hamburg or Rotterdam and are trucked to packaging plants within Germany.
It could be a toy or pair of shoes, but it becomes German- as bright packaging contains the words, "Made in Germany.
" Germany's packaging companies are booming, the government are happy because they can add this to their GDP (Gross Domestic Product) figures, whilst manufacturers are able to sell their products at a higher price.
It becomes a win-win situation for all parties.
In economic terms it is a myth, and for consumers who purchase these goods, it is an illusion.
But as European bankers smile, and Germany's elite cite the incredible growth in exports- they hide an essential truth- It is not a sign the "engine" of Europe is moving again, but the global economy itself.
German Luxury Car Manufacturers and The "German Quality" label Germany's blue chip luxury car manufacturers know one day this economic trick will be exposed.
So they are savvy enough to disguise the fact most of the new luxury car parts are actually made outside Germany- often in low cost countries outside mainland Europe.
Some cars are simply assembled in Germany, hence the "German Quality" or "Assembled in Germany" label, instead of the more controversial "Made in Germany" label.
It is a slight change of words, but one that works to attract millions of buyers- who often are located outside Europe.
The quoted figures of a 2,2% rise in German "exports" is good news for the global economy, and for German packaging and freight companies.
But it is not German export growth you are seeing, but a whole host of countries that use the "Made in Germany" label - experiencing their own economic growth.
2% growth in mid-2010.
This was hailed as good news in the Eurozone, and may help boost future investment in Germany itself.
But are these figures real? What is the truth behind the "made in Germany" label? Europe in 2010 faces sluggish growth, and in the case of Greece and Spain- negative growth.
Then came the good news, Germany's was exporting itself out of trouble and posted the best quarterly growth since reunification.
This brought smiles in the corridors of the European Union, and relief from Europe's embattled bankers.
How True is this Growth? In business circles it has long been known that Germany sells its "Made in Germany" label to other countries who want to add value to there products.
This is known as a "tinker economy" to economists, selling other peoples goods under your own name.
Today, nothing much has changed, except goods are being shipped in greater numbers from outside German borders- as our economies slowly move again.
These goods arrive in Hamburg or Rotterdam and are trucked to packaging plants within Germany.
It could be a toy or pair of shoes, but it becomes German- as bright packaging contains the words, "Made in Germany.
" Germany's packaging companies are booming, the government are happy because they can add this to their GDP (Gross Domestic Product) figures, whilst manufacturers are able to sell their products at a higher price.
It becomes a win-win situation for all parties.
In economic terms it is a myth, and for consumers who purchase these goods, it is an illusion.
But as European bankers smile, and Germany's elite cite the incredible growth in exports- they hide an essential truth- It is not a sign the "engine" of Europe is moving again, but the global economy itself.
German Luxury Car Manufacturers and The "German Quality" label Germany's blue chip luxury car manufacturers know one day this economic trick will be exposed.
So they are savvy enough to disguise the fact most of the new luxury car parts are actually made outside Germany- often in low cost countries outside mainland Europe.
Some cars are simply assembled in Germany, hence the "German Quality" or "Assembled in Germany" label, instead of the more controversial "Made in Germany" label.
It is a slight change of words, but one that works to attract millions of buyers- who often are located outside Europe.
The quoted figures of a 2,2% rise in German "exports" is good news for the global economy, and for German packaging and freight companies.
But it is not German export growth you are seeing, but a whole host of countries that use the "Made in Germany" label - experiencing their own economic growth.
Source...