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Germany holds onto high-wage manufacturing
"This growing appreciation of the German model is a welcome change from the laissez-faire approach to globalization that has dominated US policy & discourse for decades, dooming many Rust Belt denizens to lives of crystal meth & quiet desperation. But some of these analyses still understate the crucial distinctions btwn Germany's stakeholder capitalism, which benefits the many, & our shareholder capitalism, which increasingly benefits only the few.<br />
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First, German manufacturers, particularly midsize & small-scale ones that often dominate global markets in specialized products, don't seek funding from capital markets (there's a local banking sector that handles their needs) & don't answer to shareholders. They make things, while we make deals, or trades, or swaps.<br />
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Second, the key to both retention & continual upscaling of manufacturing in Germany is the composition of corporate boards, which are required by law to have an equal number of management and employee representatives."
us  germany  business  policy  making  manufacturing  capitalism  shareholders  finance  unions  labor  wages  profits  2011  from delicious
june 2011 by robertogreco
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