Germany And The Global Financial Crisis Essay - 1893 Words

Puzzle/Background: The United States has homicide rates that are almost five times higher than Germany’s. Both Germany and the United States are considered to be developed countries that are members of the Western order. Germany is Europe’s largest economy and is a leading exporter in goods such as vehicles, machines, and chemicals (â€Å"Germany Country,† 2016). Even though Germany’s export-dependent economy took a hit by the global financial crisis of 2008-2009, they have still maintained their global status as a major economic power (â€Å"Germany Country,† 2016). The global financial crisis caused Germany’s worst recession since 1949, but their exports helped the economy rebound by 2010 (â€Å"Germany Country,† 2016). As of 2015, Germany’s Gross Domestic Product (GDP) was $3,355,772. This high GDP grants Germany the spot as the fourth largest economy in the world (The World Bank, 2015). Germany is also ranked in the top five in the economic complexity rating. A country’s economic complexity is measured by the abundance of useful knowledge that it includes. A higher economic complexity rating is given to countries that produce more advanced and high-tech products (The Observatory of Economic Complexity, 2014). In 2014, Germany held an economic complexity rating of 2.05. This rating placed Germany third in the economic complexity rankings (The Observatory of Economic Complexity, 2014). Similar to Germany, the United States also has one of the World’s leading economies. Although theShow MoreRelatedThe Financial Crisis Of Greece929 Words   |  4 Pages Over the 15 years the German has been widely viewed as the economic catalyst and stabilizer for its fellow European Union states. 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If a country has received money, this is known as a â€Å"credit†, and if a country has paid or given money, the transaction is counted as a â€Å"debit†. Theoretically, the BOP should be zero, meaning that assets (credits) and liabilities (debits) should balance; however, in the reality, this is rarely the case. The BOP is divided into 3 main categories: the current account, the capital account, and the financial account: 1. The