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European Tribune - Is the German position sustainable?
three-quarters of the small and medium-sized companies in the country's industrial Mittelstand were having difficulties finding enough qualified workers.

... German business organisations have called for easier immigration rules for skilled workers to tackle the shortage.

Not to worry...

Spain's curse of emigration is Germany's gain

These men, labourers and agricultural workers, were part of the great migration from Spain. Now, in 2011, it would appear the exercise is about to be repeated -- except this time professional young Spaniards would be making the trip instead of sons of the soil.

The trend is revealed in Der Spiegel. The aim is to partially solve the German deficiency in young talent, especially those affected by the Spanish economic crash. According to the German magazine, the subject will be high on the agenda of the German-Spanish summit to be held in Madrid on February 3 and to be attended by German Chancellor Angela Merkel and Spanish Premier José Luis Rodríguez Zapatero. The discussion will form a bilateral labour agreement between the two countries. It is not only Spain that will benefit, but other nations in the south and the east of Europe which are suffering from the double whammy of a debt crisis and unemployment.

It is understood that young qualified Spaniards and Portuguese are the preferred candidates in Germany because of the ease of movement between the neighbours.



Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
by Migeru (migeru at eurotrib dot com) on Tue Jan 25th, 2011 at 04:57:38 AM EST
The obvious model for this is the USA. Boom states become bust states, waves of "internal" migration are common and ongoing.

Language and culture are fast losing their strength as barriers, especially as the target population are young and well-educated.

Is this/will this become a significant factor in re-balancing the Eurozone's internal economic tensions? The backwater-ization of the regions providing the emigrants is a danger.

It is rightly acknowledged that people of faith have no monopoly of virtue - Queen Elizabeth II

by eurogreen on Tue Jan 25th, 2011 at 06:31:17 AM EST
[ Parent ]
The consequence of such migratory flows is deflation in Spain, which makes Spain's debts to Germany even harder to pay in nominal terms as Spain's nominal GDP contracts.

So you still need fiscal transfers...

Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman

by Migeru (migeru at eurotrib dot com) on Tue Jan 25th, 2011 at 06:38:35 AM EST
[ Parent ]
Yes, and as Krugman reminded us, the US does fiscal transfers.
by afew (afew(a in a circle)eurotrib_dot_com) on Tue Jan 25th, 2011 at 08:30:36 AM EST
[ Parent ]
And Germany within itself.

Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
by Migeru (migeru at eurotrib dot com) on Tue Jan 25th, 2011 at 08:54:45 AM EST
[ Parent ]
My niece embodies this trend.  Four years ago, at the hight of the building boom, she was a Director of an Archaeological firm employing hundreds doing digs around the motorways and other developments sprouting up everywhere.  Then the business collapsed and she was one of the last to leave, did a master in Project Management, part time, and is now employed by a financial services company in Frankfurt.  Another Niece is in Scotland, a nephew in Australia, both my daughters are considering their options abroad.  I hope they leave the lights on for me!

Index of Frank's Diaries
by Frank Schnittger (mail Frankschnittger at hot male dotty communists) on Tue Jan 25th, 2011 at 10:56:36 AM EST
[ Parent ]
Frank Schnittger:
she was a Director of an Archaeological firm employing hundreds doing digs around the motorways and other developments ... and is now employed by a financial services company in Frankfurt
Is there any hope of halting, let alone reversing, the progress of financialisation? Note she moved to Germany but not to be part of the famed "exports base" of the German economy but to join the parasitic sector (said from a parasite to another parasite).

Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
by Migeru (migeru at eurotrib dot com) on Tue Jan 25th, 2011 at 11:42:27 AM EST
[ Parent ]
Her firm is a small firm (8 employees) specialising in micro-financial support of small development projects in Latin America - so the term "financial services" is quite broadly applied in this case.

Index of Frank's Diaries
by Frank Schnittger (mail Frankschnittger at hot male dotty communists) on Tue Jan 25th, 2011 at 12:17:57 PM EST
[ Parent ]


It is rightly acknowledged that people of faith have no monopoly of virtue - Queen Elizabeth II
by eurogreen on Tue Jan 25th, 2011 at 05:35:26 PM EST
[ Parent ]
I'd get a wind turbine only the national electricity utility would insist I supply them with power for free... there are no feed it tariffs


Index of Frank's Diaries
by Frank Schnittger (mail Frankschnittger at hot male dotty communists) on Tue Jan 25th, 2011 at 07:52:08 PM EST
[ Parent ]
I was talking with my aunt about that. She did not get how is possible that people with good formation be them engineers, architects or anyone with a smart head are unemployed. Move around!!!

As much as I hate the present monetary policy, I must agree that well-trained people unemployment in Spain comes from a lack of desire to move around and take a job in antoher country.

Spain talks endlessly about reforms and reforms .. most fo them are crazy leading Spain to more years of distresss. And of the reforms which are really needed (mainly 3), one will be done more or less properly (privatize cajas and use the government money to give credit), another one in the complete opposite direction of what is required (labor law and pension reform) and the other one is just not talked about (force people to learn english or german or french and move around!!!!.. and then we will pay you heavily if you come back).

xzy stuff.

A pleasure

I therefore claim to show, not how men think in myths, but how myths operate in men's minds without their being aware of the fact. Levi-Strauss, Claude

by kcurie on Wed Jan 26th, 2011 at 01:29:12 PM EST
[ Parent ]
Spaniards won't even move around within Spain. And, what's saddest, employers won't hire either. I remember a couple of years ago one of our interns had an interview with HR to take a permanent position, and they asked him whether he liked his hometown - it was almost as if it were too much of a risk to hire someone from outside Madrid for fear they would leave to go back home in short order.

Keynesianism is intellectually hard, as evidenced by the inability of many trained economists to get it - Paul Krugman
by Migeru (migeru at eurotrib dot com) on Wed Jan 26th, 2011 at 04:03:22 PM EST
[ Parent ]
Better parties, for one thing.

It is rightly acknowledged that people of faith have no monopoly of virtue - Queen Elizabeth II
by eurogreen on Thu Jan 27th, 2011 at 07:37:15 AM EST
[ Parent ]
Seconded.

A pleasure

I therefore claim to show, not how men think in myths, but how myths operate in men's minds without their being aware of the fact. Levi-Strauss, Claude

by kcurie on Thu Jan 27th, 2011 at 10:30:37 AM EST
[ Parent ]
"Education" reform.. but in universities and TV series.. ..everywhere... Make the people who travel cool.

A pleasure

I therefore claim to show, not how men think in myths, but how myths operate in men's minds without their being aware of the fact. Levi-Strauss, Claude

by kcurie on Thu Jan 27th, 2011 at 10:33:27 AM EST
[ Parent ]

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