Die Schwarze Null.
Just after posting a record surplus the German government has been nudged into an abrupt volte-face by the virus. Suppressing a tear and muttering “wat mutt dat mutt” (“needs must”) German finance minister Olaf Scholz used a bazooka to kill the emperor.
“Although there have been many false dawns when it comes to the end of schwarze Null,” writes Jamie Powell in the FT, “it looks like it’s taken a disaster of literally biblical proportions to end the Calvinist doctrine. Which, when you think about it, is kind of fitting…”
Update : Turns out the Black Zero is resurrecting faster than Jesus. According to Reuters “The German government will return to its savings policy once the coronavirus crisis is over, Economy Minister Peter Altmaier told ZDF broadcaster on Tuesday. “We’re taking the money out at favourable conditions on the capital market and the conditions are only so favourable because everyone believes in us and trusts that we will only do this as long as is necessary,” he said.
Interest rates are low because of German prudence! Ah bless…
Just follow the money…