Confidence? It is Found in Fiscal DISCIPLINE

Germany's Angela Merkel

It has been many months since German Chancellor Angela Merkel parted ways with the Obama Administration over the question of whether Keynsian "borrow and blow" fiscal polices or the tougher choice of fiscal austerity and discipline was the key to building confidence. The evidence is mounting.....Merkel got it right.
German Unemployment Drops for 14th Month
From Bloomberg - German unemployment declined for a 14th month in August after surging exports and investment fuelled record economic growth in the second quarter. The number of people out of work declined a seasonally adjusted 17,000 to 3.19 million, the Nuremberg-based Federal Labor Agency said today. Economists forecast a decrease of 20,000, according to the median of 31 estimates in a Bloomberg News survey. The jobless rate was unchanged at 7.6 percent. The German economy is leading Europe’s recovery as exports and investment surge, prompting companies from Daimler AG to Bayerische Motoren Werke AG to add workers. That may already be feeding through to consumer spending, which rose the most in almost two years in the second quarter. Read more here:

Confidence? It is Found in Fiscal DISCIPLINE