- Texas man arrested for powder-letter hoax
- Islamic State opens ‘marriage bureau’ for single jihadists
- Drone almost blocks California firefighting planes
- Tornado rips off roofs, downs trees near Boston
- GOP: Environmental rules keeping agents from accessing border
- John Kerry: Millions displaced by religious fighting in 2013
- Federal appeals court rules against Virginia’s gay marriage ban
- White House says Russia ‘losing’ war in Ukraine
- Hamas turns to North Korea for weapons deal, Iran for money
- Syrian casualties surge as jihadis consolidate
No doubt about no debt
In Germany, for the most part, cash-only is the only way to go
Question of the Day
Bailouts? Fine, but only if countries agree to strict austerity measures to get their financial houses in order. Print money? Not a chance, Germans say, still haunted by the memory of the hyperinflation of the early 20th century that helped create the conditions for Hitler’s rise.
Germany’s attitude to credit and debt largely stem from the financial trauma of the years that preceded the Nazi era. In the wake of massive reparation payments after the loss of World War I, the German mark went from its wartime level of about 4 or 5 per dollar to several trillion to the dollar.
Germany only agreed to eventually give up the mark in favor of the euro because the European Central Bank was designed just like the Bundesbank, Germany’s central bank, as an anti-inflation watchdog whose mandate does not include political considerations — such as stimulating job growth like the U.S. Federal Reserve.
• AP writer Louise Nordstrom contributed to this report.
TWT Video Picks
By David Keene
Allowing states to innovate could reduce dependency on bureaucracy
- D.C. seeks to stay judge's order allowing gun owners to carry in public
- Hillary Clinton: Forget Obama, George W. Bush made her 'proud to be an American'
- Illegal immigrants demand representation in White House meetings
- Iraqi Christians rally at White House: 'Obama, Obama, where are you?'
- White House defends Kerry failure to broker Middle East cease-fire
- Border surge puts Obama legacy on immigration at stake
- Romney would win popular vote in rematch against Obama: CNN poll
- Tennessee Gov. Haslam slams White House for secret dump of illegals in his state
- White House says Russia 'losing' war in Ukraine
- Report: 40% of weapons sent to Afghanistan are unaccounted for
Obama's biggest White House 'fails'
Celebrities turned politicians
Athletes turned actors
20 gadgets that changed the world
Fighting in Iraq