Germany’s Blackout News here reports on how Germany’s move into renewable energies has gone from “a boom to crisis”.
The policies of (worst ever) Economics Minister Robert Habeck (Green Party) are leading the German economy to disaster. Photo: public domain.
It wasn’t long ago, when interest rates and inflation were low, and the economy and the business of renewable energies in Germany were booming.
But now, Blackout News reports how “the outlook for the renewable energy sector has deteriorated drastically” and affordable raw materials have become hard to get. Manufacturers are now reeling. “The renewable energy sector is facing the abyss” and is “on the brink.”
“The S&P Global Clean Energy Index, which monitors the performance of the sector, has fallen by 32% in the last 12 months, while the global stock markets have risen by 11%,” writes Blackout News. “These losses on the stock market not only affect the companies themselves, but also the investors and shareholders who have invested in renewable energies.”
Entire article (German) here.
Reduced work hours, job cuts
Blackout News also reports how the German economy in general, the biggest in Europe, is crumbling at its foundation. For example, construction equipment manufacturer Liebherr “is putting 1000 employees on short-time working for 9 months.”
Also Stiehl, Gardena and Hansgrohe, are “opting for short-time working and job cuts.”
Other famous German companies planning cuts include textile group Groz-Beckert in Albstadt-Ebingen, and chainsaw manufacturer Stihl,
“Rising inflation and the construction crisis are two of the main reasons for the current economic uncertainty. Rising inflation is putting a strain on households,” reports Blackout News.
The major driver of inflation and all the German economic misery? The rising cost of energy caused by the government’s incompetent energy policies.
The economy must be bad if he cannot afford a razor blade.
I wonder if someone could clarify the last sentences?
Just how does a rising cost “drive inflation”. I’m at a loss to understand how rising costs are the cause of increasing the supply of money. Since 1913 when the US produced the Federal Reserve, the US Dollar has lost approximately 97% of its value. This is not due to rising prices! Goverments often”target” inflation at2%. 2% inflation reduces the value of money by 50% over 20 years. Guess who prints and first spends the 2%? And guess who suffers from the 2% inflation per year?
The shortage of energy, and/or the added effort to produce it, makes the energy go up in price, which fuels higher prices for almost everything else.
You are correct, of course, but it’s been a long time since either journalists or professional economists knew the classical definition of inflation, which is an increase in money supply.
It is the increase in the amount of money, chasing the same amount of goods, which leads to higher prices.
These days, just like with almost everything else, they have got it exactly backward though, and so “higher prices = inflation”.
This new and improved definition (/sarc) then makes the price increases easy to blame on greedy capitalists, rather than the commercial and central banks, as well as the politicians & their never-ending budget deficits, which are the true culprits.
Re,
The economy must be bad if he cannot afford a razor blade.
He is a Greenie …Greenies don’t wash !! You can always tell a Greenie by his or her bad skin, bad hair and bad teeth.
Still not inflation. Just less money to be spent on other stuff.
Not so.
Increasing the money supply means more money to spend on everything.
If the quantity of goods and services stays the same then price increases will result. Ergo inflation. M.V = P.Q
Part of the problem is that the greens can’t think in numbers; can’t do basic maths.
Nothing like a little of Secular Ruling Families RATES Party to end the unsustainable Windy and Solar business!
No CHEAP and ABUNDANT Russian Gas…
No CHEAP nuclear energy…
Bye Bye Germany!
[…] Germany: “Renewable Energy Sector Facing The Abyss”…”On The Brink” …Economy Breaking Up […]
China has deposits of anthracite, they burn it to produce electricity, usable energy is great stuff. The Chinese have learned to coal.
Electricity is the big dog of the energy sectors, how it gets there is done in various ways, hydro, nuclear, coal, fuel oil, natural gas, all do the work and the job.
Never argue with success.
It takes a lot of work to stay alive, if you don’t do the work, you will experience collapse. It will be immediate. Wind turbines are a prime example.
Everything you do is work, keeps you alive. It can be a helluva lot of fun too.
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