Germany (Lonely Planet, 6th Edition) - Andrea Schulte-Peevers [26]
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When the financial crisis struck in 2008–09, the German government pumped hundreds of billions of euros into the financial system to prop up the banks. Other measures allowed companies to put workers on shorter shifts without loss of pay and pumped money into the economy by encouraging Germans to scrap older cars and buy new ones.
The export industries Germany relies on so heavily for its wealth – Germany, the world’s third-largest economy after Japan and the USA, is consistently the world’s largest exporter – have suffered badly during the crisis and, if the predictions of the Organisation for Economic Co-Operation and Development (OECD) are a good indication, unemployment in Germany will rise to almost five million or 11.8% of the working population some time in 2010. Other predictions are less dramatic.
The election of 2009 confirmed the trend towards smaller parties and a five-party political system in Germany. The CDU/CSU achieved its second-worst result in the history of the party (around 34% of the vote) and the SPD achieved its worst result in its almost 150-year history, receiving around 23% of the vote. Support for The Left has been consistently strong in eastern Germany over the years, but success in the federal elections of late 2009 allowed it to establish itself at federal level. The Left received around 12% of the vote and is the second-strongest opposition party after the SPD. It nudged close to the FDP (just under 15%), whereas Alliance 90/The Greens, despite picking up a few disillusioned SPD voters, received around 11% and became the smallest of the opposition parties.
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Two of the best websites for current reports and facts about Germany are The Economist magazine’s country profile at www.economist.com/countries/germany and the BBC News website (follow the Europe/Country Profile links) at http://news.bbc.co.uk.
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Despite having lost support, the CDU/CSU will foreseeably rule in coalition with the FDP, with Angela Merkel retaining the job of chancellor. The influence of a strong FDP on Germany is likely to be a greater focus on neo-liberal economic policies, but also on citizens’ rights – traditionally part of the FDP platform. Its leader, Guido Westerwelle (b 1961) is likely to become foreign minister and Germany’s vice chancellor. Although sexual orientation scarcely plays a role in German politics, Westerwelle makes no secret of his homosexuality and therefore will probably become Germany’s first openly gay vice chancellor.
The five-party system will probably be a long-term feature of the political landscape of Germany, and the SPD will continue to face the prospect of having to enter into coalition agreements with The Left in any future SPD-led government. It has refused so far, but this is likely to change, especially if Berlin’s governing mayor, Klaus Wowereit (b 1953) becomes chancellor candidate – he is thought to have good chances – during the next election, scheduled for 2013. At present, Wowereit heads a coalition of the SPD and The Left in Berlin. Sigmar Gabriel (b 1959) and Olaf Scholz (b 1958), both ministers in the earlier grand coalition, are also likely to become key players in any SPD revival.
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‘If the Austrians should ever demand reparations from us, I’ll send them the bones of Adolf Hitler.’
KONRAD ADENAUER (FORMER GERMAN CHANCELLOR)
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TIMELINE
800–300 BC Germanic tribes and Celts inhabit large parts of northern and central Germany, but, by around 300 BC, the Celts have been driven back to regions south of the Main River.
100 BC–AD 9 Romans and Germanic tribes clash until defeat at the Battle of the Teutoburg Forest halts Roman expansion eastwards. The Romans consolidate territory south of the Limes.
4th century The arrival of Hun horsemen triggers the Great Migration and Germanic tribes are displaced and flee to various parts of the Western Roman Empire.