OK, so it’s a sensationalist headline and hasn’t actually happened.
But it may not be as unlikely as it seems if you consider the options open to the euro given what’s going on right now.
Many pundits tip Greece pulling out of the euro, but while reading some less reputable news sites I’ve heard some rumours about Germany and possibly even France planning a retreat from the Euro also.
So I got thinking what would happen if Germany pulled out and returned to the Deutsche Mark.
What would happen then?
It could, (and I am hypothesising here) but there could be some truth to this.
It could potentially catapult Germany into the global superpower that it already is. For years we have been talking about who is taking over now that the US is failing as a global power (they will be much more focused internally for the next couple of decades).
China, Russia, India while having massive populations are not ready to take over, but Germany without the struggling economies of the euro holding it back could take over as the global leader.
They are the second largest manufacturer, they are efficient, they have very little debt. In fact I think they could make an excellent superpower that, when standing alongside the Asian economic powerhouse could lead the world into a brighter future.
Of course, we’ll have to wait and see what happens with the euro, but in fact, I think it would make a lot of sense if many other economies returned to their currencies, devalued their currencies to make exports more attractive, and inflated away the debts to hopefully usher in an era of fiscal responsibility across the world.
Live with passion,