Intervention doesn't solve anything in the long run, government need to stay out of markets. I think there is trouble ahead with the EU budget under a lot of pressure due to problems in the German economy. As the largest contributor to the EU they won't want to commit to any costly intervention program. Economic growth is only 0.2% in the last three quarters, purchase orders are down. It spells a lot of trouble especially when they already have an artificially devalued currency by being in the Eurozone.
Here's a list of recent announcements of job cuts in Germany. It's not a time to be taking on any more liabilities.
- Schaeffler, automotive supplier, 900 jobs, 700 in Germany
- Siemens, 2,700 jobs, half in Germany
- Volkswagen, 7,000 jobs,
- Deutsche Bank, 18,000
- BASF, 6,000 jobs, half in Germany
- Bayer, 12,000, 4,500 in Germany
- Ford, 12,000, 5,400 in Germany
- SAP, business software, 4,000, 1,000 in Germany