Savings rates

Here is a chart of the saving rates over time in several countries:

Source(RGE Monitor)

The thesis of the RGE Monitor essay is that reliance on exports (Germany) makes one’s economy exposed to external demand shocks.  The news that Germany had a huge H1 in 2010 seems to indicate there will be a crash in H2 as they have probably overbuilt their inventories.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: