It seems that dogma and complacency put the German economy at risk (Christian Odendahl, FT, 17 August/18 August 2019). More than that, Europe’s recent mini-empire comes to an end.
Germany became the hidden mini-empire of Europe via the euro, the privatisation of former Soviet satellite economies, the impact of German leadership on Brussels, and the hidden American-German cooperation.
The Germans were good, but not as good as gold. Their brilliant macroeconomic figures were partly maintained by some other Europeans. They failed to launch their structural reforms, but they forced other countries to follow austerity policies that prevented their governments to implement genuine structural reforms.
The time for empires, large or small, is over.
Governor Matolcsy, MNB, the Central Bank of Hungary