And there you have it, the harder you make it for companies to fire people, the fewer people they actually hire. Yes, Europe has great benefits and companies are glued to you once they hire you, but only if they actually hire you. And when they do hire you, you have to pay a lot of money in tax to subsidize those who were not hired. Wouldn't it just be easier to not 'glue' people to companies, that way they'll hire more people and then you can even lower the taxes and people can save some of their hard-earned for when that rainy day comes. But then we wouldn't need those vast battalions of bureaucrats to administer and nanny the subjects around now would we. Less government intervention, oh no, we can't have that!IHT - ......Europe's extensive job protections and unemployment benefits are "bad in the upswing, because firms don't dare to hire people, because then they are glued to them," said Hans-Werner Sinn, president of the Ifo Institute for Economic Research in Munich. "In the downswing, it's good if the people are glued to the companies. They keep their jobs. They keep their income. They keep consuming."
I'm no fancy economist or anything, but I wonder if it's crossed the minds of all these boffins where the $2.85 billion is coming from. It's from taxes isn't it, and to tax someone, don't they have to first make some money? What are they going to do next year and the year after if those who were earning money and hence paying taxes are no longer earning any money? The article initially talks about how one company is asking people to work 50% less, which is better than being fired, but what happens when that company closes shop completely, so much for the glue ey.The German Federal Labor Office projects that it will spend some $2.85 billion this year for more than a quarter of a million people who end up on Kurzarbeit. In comparison, the agency doled out around $270 million last year, as the financial crisis first began to bite, and roughly $135 million in both 2006 and 2007.
The other thing is that once Hussein is done socializing America, it'll become like Europe. Who will keep the western world safe to sit and waffle about diplomacy and tisk-tisk at cowboy foreign policy when American hard-power disappears into history in favor of better healthcare and fancy welfare programs. What will Europe do when their diplomats are told to eff off by a Russia, China, North Korea or Iran and do as you are told? Will they have enough money for both welfare and the hard-power that is needed for those who just don't feel like 'getting-along' or 'cooperating' or 'win-win'?
I sure hope they got it all figured out cos I have a feeling a lot of people are going to get what they wished for.