France and Germany exit recession

It is nothing but the effect of governments stimulus packages or simply said governments printed money pumped like loans in the economy. There is almost to nothing to indicate significant grow in EU production or consumptions which would pull out EU from real recession yet.

Once when this stimulus money stops France and particularly Germany are back in recession, if not depression, expecting from the last quarter of 2009.

It seems strange to me that one quarter increase in GDP heralds an end to a recession whilst it takes two consecutive quarters of decline to qualify as a recession.

However it is also true that both France and Germany-unlike the Anglosaxon countries-managed to protect their manufacturing sector and put a lot of restrictions on the excesses of the financial sector.Both countries also plan to put more curbs into place on banks.Therefore,the export led growth in both countries had a beneficial effect on their GDPs.

The French&German economies are demonstrably differant to the Dollar/Pound countries and rightly so.

The debt culture is all American and British, where Credit Cards are the norm - that simply is not the case in Germany.

In conclusion,it is still to early to say whether the two largest economies in EU will coninue to grow and whether the'll be able to pull the rest of the EU countries out of the recession.

In conclusion,it is still to early to say whether the two largest economies in EU will coninue to grow and whether the'll be able to pull the rest of the EU countries out of the recession.
(Leonidas, 13 August 2009 14:10)

Just look how they shooted their budget deficits and you'll have a partial answer to the question.
The car scraping system that germans first implemented had certainly a large impact on this number but it will not last too long more. However germans have always been very creative in facing hard times and come out stronger so it is half a surprise!

We can talked about a durable stability once the banks will start again to open the credit tap, but this time hopefully in a more controlled and regulated matter.
Following the yankee's irresponsible model has cost the european financial institutions a lot! I hope that they will finally learn the right lesson....

It is nothing but the effect of governments stimulus packages or simply said governments printed money pumped like loans in the economy. There is almost to nothing to indicate significant grow in EU production or consumptions which would pull out EU from real recession yet.

Once when this stimulus money stops France and particularly Germany are back in recession, if not depression, expecting from the last quarter of 2009.

It seems strange to me that one quarter increase in GDP heralds an end to a recession whilst it takes two consecutive quarters of decline to qualify as a recession.

However it is also true that both France and Germany-unlike the Anglosaxon countries-managed to protect their manufacturing sector and put a lot of restrictions on the excesses of the financial sector.Both countries also plan to put more curbs into place on banks.Therefore,the export led growth in both countries had a beneficial effect on their GDPs.

The French&German economies are demonstrably differant to the Dollar/Pound countries and rightly so.

The debt culture is all American and British, where Credit Cards are the norm - that simply is not the case in Germany.

In conclusion,it is still to early to say whether the two largest economies in EU will coninue to grow and whether the'll be able to pull the rest of the EU countries out of the recession.

In conclusion,it is still to early to say whether the two largest economies in EU will coninue to grow and whether the'll be able to pull the rest of the EU countries out of the recession.
(Leonidas, 13 August 2009 14:10)

Just look how they shooted their budget deficits and you'll have a partial answer to the question.
The car scraping system that germans first implemented had certainly a large impact on this number but it will not last too long more. However germans have always been very creative in facing hard times and come out stronger so it is half a surprise!

We can talked about a durable stability once the banks will start again to open the credit tap, but this time hopefully in a more controlled and regulated matter.
Following the yankee's irresponsible model has cost the european financial institutions a lot! I hope that they will finally learn the right lesson....