Hartz 4 reforms by Schroeder killed the recovering working class in the East. High employment by slashing wages and working conditions. Followed by mass migration from eastern Europe, followed by the migrant flood of the last 3 years. Social democracy doesn't have good cred there
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Als antwoord op @JonMarcStanley @mrjamesob
So, what keeps the people in question from going where the jobs are? Over all Germany has a dire need for qualified workers. And you can make a very decent wage in the trades. Mass migration from eastern Europe is also a myth. We need migrant workers.
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Als antwoord op @Wer_ko_der_ko @mrjamesob
German economy very different in many ways. The skills base in the East is poor, until 1991 they had a soviet education that stifled innovation. I saw it first hand. The gov has overfocussed on infrastructure instead of upskilling. Hence mini-jobs have taken over.
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Als antwoord op @JonMarcStanley @mrjamesob
You know, I happen to be German and the skills base is anything but poor. The GDR was not poor in skills or in science. It was the economic system and the political system that prevented it from flourishing.
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Als antwoord op @Wer_ko_der_ko @mrjamesob
I don;t doubt it, but I worked with managers for a short while in an East German hospital. They said all management had to be recruited from the West because of a lack of innovation in the local workforce. Soft skills were lacking.
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Als antwoord op @JonMarcStanley @mrjamesob
Of course new skills had to be acquired as the economic system and the requirements in terms of soft skills was significantly different. But that's still a far cry from poor skills. And it's been almost 30 years since reunification so the workforce now does have the soft skills.
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Als antwoord op @Wer_ko_der_ko @mrjamesob
Still the low wage model of recovery remains. and in a very mobile Europe this leaves the region trapped.
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Als antwoord op @JonMarcStanley
There is a wage decrepancy between west and east in Germany, however, the cost of living is also significantly lower. So it isn't as simple. Maybe have a look at these graphs: https://cdn.static-economist.com/sites/default/files/20151003_WOM950_1.png … . And let's not pretend there's no wage disparity in the UK
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Als antwoord op @Wer_ko_der_ko
I'm from the North. We have had the same problems for about 40 years. And footloose industries favour people moving up the property ladder and benefits moving people towards to the poorer parts, the opposite of what the Lewis curve predicts all else equal. So poor areas stay poor
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Als antwoord op @JonMarcStanley
Only eastern Germany has seen significant improvement in the last 30 years. It's by no means perfect and there's still a lot to do. But compared to where these regions were 30 years ago...
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The point is it looks to have plateaued, and was only made possible with mammoth funding. Locals rightly worried this model won't continue.
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Als antwoord op @JonMarcStanley
The model will shift of course, to give extra funding for the poorest regions wether east or west.
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