Reply #14: Germany invests in infrastructure

[primavera]

Executive compensation is taxed to the point of being effectively capped through taxes, so profits get channeled back into the company as opposed to going to buy lear jets and yachts for billionaire CEOs. Also, most German companies are bank financed by the German National Bank, as opposed to being privately funded through stock. As a consequence, German businesses don't have to worry about their investors dumping their stock if they fail to produce massive short term yields. The only one a German company is beholden to is the bank, to which it owes no more than its basic P&I payments, so it can take a lean year in which they make some major investment in their business. Here, if the business doesn't provide 25% or better return on investment every year, the stockholders dump the stock and buy stock from those companies that turn the fastest buck.

And, of course, their commie pinko government does things like invest in education, roads, transportation, communications, and all of the other things that we would rather chew broken glass than support in this country.