Were you born on the wrong continent by Thomas Geoghegan

It's interesting to read about another economic system and how it ties into a philosophy of government. I wrote some take away thoughts below.

People in America feel forced to spend more time at work in order not to be downsized. These longer work hours which causes them to consume, spend, discard more because they don't have time to cook, clean, fix or repair. In Europe there is a balance of power between financial people versus people who produce so that helps prevent financial people from cutting costs so that they look good in the short term market.

Globalization does take jobs away from people at the bottom so it is necessary to educate people up so they can work in a more specialized industrial base that can compete globally. He believes that without an industrial base of middle class workers that a social democracy dies. He points to the low voting rate in the US and ties it to our dwindling middle class. He also notes that our newspapers are dying due to a lack of readership. He believes it's due to our workers not being interested in the news because they believe they have no power to act collectively to protect their skills. He thinks that our manufacturing sector is gone and people like to look at pictures rather than reading. In Germany adults continue their education by reading the paper.

He believes that socialism is the reason that Germany is competitive because German workers are at the table when decisions are made and elect people who watch and check on businessmen. Therefore Germany has held onto a profitable, highly skilled tool-making culture. This process apparently was set up after WWII by the US army, the British Labor Party and Jesuits. It consists of the works council, the co-determined board and wage-setting institutions. Workers are elected to the works council which helps run the company. The co-determined board is like our board of directors except half of the board is made up of workers elected by workers. It appears that unions are part of the wage-setting institutions.

Germany is green due to its efficient social democracy with high taxes which holds down consumer spending. Even though Germany fits inside the state of Montana it has large green spaces and people are more likely to save money.

German Basic Law makes clear that the purpose of the state is to protect people from the excesses of capitalism.

The rich also tend to save and not spend much instead they may travel more. Also expenses for education to first rate schools is more reasonable. There is a culture of not flaunting your wealth and spending more family time.

The educational system is divided into 3 tracks; gymnasium then free university; high school apprenticeship with pay; high school without skills.

It appears that our US model can support more people with a lower standard of living while the European model can produce better jobs that supports fewer people. We have less security but more opportunity and choice. They have less security but less opportunity and choice. Germans like doing personal chores and being private while Americans don't mind having a maid or having others bag their groceries.

Benefits for the old are better so they can retire easier. Germans are aware that people can be used up mentally and physically so people should work about the same but just pace themselves with longer leaves and more time off.

Germans pay taxes to keep the welfare state going and keep up churches that so few attend.

SPD (Social Democratic Party?) is concerned about giving people outside the industrial worker base some sense of power by letting people at every level exercise direct political power. One thing they tried was picking names out of a phone book to let people sit on councils that would decide what neighborhood-level projects the government should fund.

He thinks we should teach our kids how to cut themselves a better deal by using politics. This is as or more important than going to college or learning practical skills.

Germany has banks that are run by the government and invest in little companies rather than credit swaps and derivatives.

He likes the idea of health insurance but is concerned that we are pushing this cost onto the cost of our manufactured good and making private insurers even richer.

isbn: 978-1-59558-403-8