Problems with German Reunification

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Problems with German Reunification

Following the Second World War, Germany was rebuilt out of practically nothing into one of the richest countries of the world. This well-known transformation is known as the "Wirtschaftswunder" (wonder of economics). Yet in the recent reunification of West and East Germany, German leadership has ignored crucial lessons from this successful period of transformation. Three problems highlight this claim:

1. Reunification promised to quickly alleviate forty years of East German Socialism by means of tax money: Prior to and especially during the November 1990 reunification election, political parties and government leaders all agreed that East Germany could be raised to the West German standard of living within the time of one parliament (four years), largely by means of State funding, although much of the GDR remains in the same condition that Hitler left it in.

Reunification advocates ignored the post-War lesson that the western parts of Germany were not rebuilt by means of tax-money but by hard work in a relatively free economy. The people o...

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