After the second world war Germany was in a very bad shape..Mark had lost its purchasing strength and a big bag full of marks has to be taken out for buying bus tickets and daily groceries..The Allied forces decided to appoint a German chancellor so that the blame of ruining the country was not faced by them..They looked out for some one who would bet his assets should the country not be revived by his economic policies..One, Prof Ludwig Erhard took up the challenge and was appointed the Chancellor..He, being an economist, took several measures like issuing new mark equivalent to 1000 old marks, converting Germany into a free trading country budgeting the expenses within the revenue limits and asking the banks to finance some of the major manufacturing companies till they had come out of red...In six months the economy slided down further..Upon being questioned he asked them to have patience and wait for the results to crystalise..The economy showed an upward trend gradually and you can see where it has reached..I am amazed that despite being an accomplished economist why has our PM failed to revive our economy whereas it was due to his formula that India revived in 1992.
Posted on: Wed, 09 Oct 2013 07:06:12 +0000
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