Regardless of its fundamentals, a German bank would be considered safer than an Italian one, because the German government s implicit guarantee is much more valuable than the Italian government s.

Germany s government seems to have little appetite for breaking up Deutsche Bank, and the French have taken a leaf from the British book and implemented their own reform.

Ben Bernanke, the US Federal Reserve chairman, once famously pinned the whole US current account deficit on a global savings glut.

By increasing inflation, the Fed would turn real interest rates seriously negative, thereby coercing thrifty households into spending instead of saving.

First and foremost, there is the global savings glut, an idea popularized by current Federal Reserve Chairman Ben Bernanke in a 2005 speech.

Second, it could absorb excess German savings by letting unemployment rise as local manufacturers fired workers (because rising unemployment forces down the savings rate).

Automatic Savers

America s Saving Surprise

Japan s Savings Crisis

Savings rates shot up.

Demand savings accounts

Term savings accounts

Saving. A domestic saving rate in excess of 50 has served China well.

Both the savings shortage and savings glut hypotheses confuse accounting outcomes with causes.

Most countries have introduced some form of forced savings (such as compulsory contribution to pension and provident funds) and provide tax incentives to stimulate long term household savings.

The natural interest rate was low because, as the Fed s current chairman Ben Bernanke explained at the time, the world had a global savings glut (or, rather, a global investment deficiency).

Balancing China s High Savings

In other words, the government s negative saving is being financed by the private and household sectors positive saving.

German

Chancellor Angela Merkel has criticized the United States Federal Reserve and the Bank of England for quantitative easing, which has in practice allowed the central bank to monetize many types of government and non government debt.

America s Saving Rate and the Dollar s Future

Too Much Saving, Too Little Investment

Saving may also take the form of individual contributions to retirement accounts or employer contributions to corporate saving plans.

Academic departments of German studies often include classes on German culture, German history, and German politics in addition to the language and literature component.

Shlomo Benartzi Saving for tomorrow, tomorrow

Cut Now, Save Later

Talk abounds of a global savings glut.

Why Are Savings Patterns So Different?

It would become part of the German Empire with the unification of German states in 1871.

Talk abounds of a global savings glut. In fact, the world economy suffers not from too much saving, but from too little investment.

Oil rich countries tend to save a lot. Countries with serious internal crises or conflicts tend to save little.

According to a study by Goldman Sachs, countries like Greece, Portugal, and Spain will have to become 20 30 cheaper, and German prices will have to rise by 20 relative to the eurozone average.

The Deutsche Forschungsgemeinschaft (DFG ) is an important German research funding organization and the largest such organization in Europe.

Apart from accounting for the global divergence in savings rates, tight credit constraints in China might explain the country s high, and rising, savings rate especially as the large rise in national savings is attributable mostly to household savings.

The German Leadership Question

I don't speak German.

Do you speak German?

She speaks German.

Europe s German Ball and Chain

France s German Mirror

German To

German Social Democracy .

The document is in the German language.

English, French, German

German spoken and read