Re:Why Germany Is Better at Training Its Workers
by lispm on Friday October 17, 2014 @06:19AM
(#8470195)
> That's the opposite of how things really work.
That's how it works for Germany for decades.
No one outside Germany cares what a Mercedes S-Class costs. They are buying them independent of the price.
> because your trade partners will no longer be able to afford your exports.
Tell that the Chinese...
Re:Why Germany Is Better at Training Its Workers
by eli_gottlieb on Friday October 17, 2014 @12:04PM
(#8471610)
>They are buying them independent of the price.
This statement contradicts the entire theory of supply and demand. Also, my family owned a Mercedes once, and those things break down too damn often.
>Tell that the Chinese...
The Chinese are running a weak-currency policy.
Re:Why Germany Is Better at Training Its Workers
by lispm on Friday October 17, 2014 @02:57PM
(#8472748)
> This statement contradicts the entire theory of supply and demand.
It doesn't. If it would, the theory would be wrong. Cars like the Mercedes S-Class are not sold based on price - it's a luxury good. Advanced machines for factories are not bought primarily on price - otherwise Germany would have lost these markets long to cheaper competition.
That's the opposite of how things really work. If you run a strong currency in an export economy, you will get sick, because your trade partners will no longer be able to afford your exports.