In 2014, writer and writer Jens Berger came up with the question "Who owns Germany?". It was a strong hit. His book describes the country's financial situation and diagnoses a clear disparity between the rich and the poor.
The dream of an egalitarian society, without material worries, came to an end. 10 years later The Germans wake up, but they're very hung up. Coronavirus, Ukrainian and energy crisis have peculiarly affected the mediate class. The situation is deteriorating from week to week. For Berger, this was adequate reason to completely revise his bestseller. The results are devastating: the gap between the rich and the mediocre is so large that there is an urgent request for action.
1st to 1st
According to Berger's research, 226 of the richest Germans have 5 times the wealth of 40 million poorest Germans taken together. On the basis of these circumstances, the writer exposes 1 or 2 myths, e.g. with a wide mediate class. Today, even those who have good income must spend a large deal of it on rent. At the end of the month, small remains, especially for those who live in large cities. Hence, the mediate class, especially the lower class, has difficulty gaining wealth. This is due to the ever-increasing social safety contributions, which besides arise from the fact that, for example, pensions are increasingly privatised. According to Berger's thesis, in the event of suspension of backing with a minimum increase in the statutory contribution rate, the standard pension would increase. In the current situation, elder citizens must mostly live in poorness without access to any assets.
Capital pensions
However, capital-based pensions present have systemic implications for the financial system, says Berger: "If only a tiny part of the EUR 2291 billion that insurance companies and banks owe to German households through long-term investment products, this would make shocks in the financial system" – answers the title question. Berger lists owners and superrich, billion-dollar household dynasties as well as war and crisis speculators of fresh years. He explains how they built and enlarged their wealth. But it's not necessarily his book. The essence lies between wealth and power. Berger explains this link from different perspectives and describes how it emerges politically and socially: "Those who have wealth besides have influence on the initiation of social change and the direction of political debate".
Dictate of financial institutions
Insurance companies and financial groups must have the top power, both economical and political. Not only do they set out the corporate strategy they are active in, but they besides have a immense influence on parliaments. Berger explains why they can do this: most countries are in debt to these companies and trust on their money, especially in the case of fresh government bond issuance. In order to increase the tendency to buy large insurance companies and financial institutions, they are besides willing to adapt to them politically.
Hidden dictators
Three companies stand out here: BlackRock, Vanguard and State Street. Berger devotes quite a few space to them and illustrates the strength they have accumulated over the last fewer decades. Not to mention the estate. In fact, these 3 players are active in all large companies, and they always make profits, whether or not the countries are destroyed during wars or rebuilt after wars, whether pandemics or energy transformations are announced. “Most shares were erstwhile in free circulation” – writes Berger. "Only the concentration of this free fleet on organization investors, financial groups, funds, insurance companies and banks has led to a emergence in corporate governance. If present more than 80 percent of the shares are in the hands of the financial sector, the issue of power has evidently been settled erstwhile and for all".
Give the rich, take the poor
Making decisions on economical processes has never been more undemocratic than at present, notes Berger. However, not only does he deal with symptoms, he besides points to causes. They lie within the Chancellor Gerhard SchröderThe 2010 Agenda paved the way for neoliberal transformation. Although labour marketplace reforms have made a large part of the population increasingly little and little freely distributed, the taxation burden on wealthy people has been systematically reduced.
Shareholders without voting rights
Such historical trips are peculiarly breathtaking when, for example, Berger describes the mechanisms of the alleged Deutschland AG and compares them to the present or erstwhile he tracks the triumph of ETF funds and explains the power calculation behind them: ‘Buying differs from direct acquisition of shares. For funds and ETFs, voting rights related to holding shares shall not be passed on to the client. It's not you, but your investment firm is in charge of holding company shares. Although you indirectly own any companies through ETF, you have nothing to say in these companies”.
Understanding Manipulation
No uncertainty there is much to learn from the fresh edition. Wem gehört Deutschland? contains rich economical knowledge. It is written wisely and at the same time understandable, although the author spares no business and economical terminology. The explanations are accompanied by graphics and statistics. Thus Berger shows how the state uses various tricks to hide or distort the real financial situation, so that for example the average population on paper looks richer than in reality. His book appears at a time erstwhile German society is profoundly divided – as the reading shows – not only politically and ideologically. It's possible it's connected here, too.
Eugen Zentner
Jens Berger, Wem gehört Deutschland?, Westend Verlag, Neu-Isenburg 2024, p. 272.
Source:https://apolut.net/buchrezension-wem-gehoert-deutschland/.
Paul Jacobas translated (I ask for 1 Hail Mary for my work).
