Saturday 15 July 2017

Love her or hate her: Legacy of Angela Merkel

By: Bikal Dhungel  

Some call her 'real Iron Lady', some know her as the eternal chancellor. A baby born in the year 2000, starts to remember names when she is 5 or in 2005. She asks, who is the boss of the whole country ? 'Angela Merkel'. Today that baby is 17 years old and still Angela Merkel is the head of state. Probably, she will still remain in the next 4 years, being the most stronghold politician in power with such a high approval rate.

A girl born in Hamburg and raised in East Germany by her dad who was a pastor with lots of discipline and intelligence, she was a straight A student from school until her Phd in Physical Chemistry from Karl Marx University in Leipzig. She has contributed a lot in the field of Chemistry, who , without following the status quo of having children, getting old , decided for the career in the field of Chemistry and politics. Her party, CDU is a conservative, male dominated middle class party. As a woman, to rise up from a conservative base is not simple as we think. It takes a lots of tactic, courage, intelligence, trust and hard work. She was Helmut Kohl's girl, 'das Mädchen', who kept the relationship with Helmut Kohl as a guardian.

In the year 2005, she had to run against a charismatic SPD man Gehrhard Schroeder, who was an excellent vocal and a loved man in politics although some critics due to his "Hartz IV' reform. She did it in 2005, became the first female chancellor from a conservative party dominated by men from the middle class business and family. When she took over the governance, Germany was more or less in a mess, with almost 7 million unemployed, few million mini-jobbers ( who basically work for nothing but thatswhy get support from the government ). When money is not working, when government is full of debt, all the effort goes there. Social policies, policies for science and research will be put under the carpet due to the lack of funding etc. This in the long term halts development. Merkel thought, the large number of unemployed were due to the government policy, not because of the economy itself. She started with ' I will send people back to work '. When she brought some reforms, things started to change. within 2 years, unemployed people were reduced almost by a million and mini jobbers had better alternatives. As things were going to be better, she was hit by something much bigger. The economic crisis led by mortgaze based financial crisis. Germany, as a leading exporter suffered the most as its main market, the United States was in trouble. As the exporting firms suffer, she held meeting with the head of private businesses to talk how to tackle the crisis. Her ability to handle was extra-ordinary. They agreed: if economy is doing good, people have money, if people have money, they can afford goods, if they can afford to buy goods, companies will sell more and gain profits, hence more tax for government, hence more money for social causes and everybody is better off at last. Hence, keeping people in the job was important. What the companies did was , reduced the working hours from 8 to 7 daily but did not lay off the labours. As a result, unemployment remained constant and companies used the 1 hour time to provide trainings or to build human capital of the workers. With time, when economy recovers, workers have additional skills which again benefits the companies. This policy proved to be a huge success and was praised by all over the world. Within a year, Germany was again on track whereas other countries with poor economic policies were still struggling with the battle of economic crisis.



( Source: Finanzen 100 Statistics Article, Economic Judgements of Angela Merkel, Screenshots  )

Another test of Merkel came with the Greek Debt Crisis. She had economic giants around her. Saving Euro required saving Greece. If we dont save Greece, the domino affects will hit us, Merkel told. So, at any cost, even disappointing the German public, she saved Greece. As a result however, as investors feared the credibility of Euro, they looked for safe heavens to invest. German government bond was the most attractive. So, Investors were ready to lend it in a minus rate, meaning Germany government would borrow money and for that it also get a certain percentage. This makes no sense economically but in the time of crisis, yes. Germany went home with 70 billion dollars profit. This is half the amount lent to Greece where it should start paying interest soon. Germany had not only win-win but win-win-win.

German economy is the most robust economy today, with Euro being very stable. Summarizing, with the three figures below, during the time of Merkel until the crisis and beyond, the number of unemployed people were more than halved, the GDP increased a lot, government debt reduced in real terms, the real net wage increased.  Even taking inflation into account, all these figures are positive. Hence, economically saying, there is no country worldwide that is more successful than Merkel's Germany currently and the credit goes to Merkel and her policies.

However, Merkel's achievement is not limited to pure Economics. She has been the same in Social issues.
She initiated the issue of minimum wage together with Social Democrats during the time of coalition with Social democrats. Despite opposition from the middle class company owners, she could convince them that the purchasing power of the citizens is good for the businesses as people can afford to buy more. The minimum wage of 8.5 Euro per hour was introduced with exception in some sectors which will probably be out of business with this law. This policy was popular among all political spectrum later and was morally right: ' people should be able to lead a decent life from the wage they earn'. She has also signalled in various occasions that this is going to increase in the future.

Her conservative traditional party is reluctant to change. As Germany has no natural resources but heavy industries, energy supply is a very important matter. Hence, the party sticks very hard to atomic energy. Atomic reactors throughout the country are significant. Germany even has a separate ministry for that. However, she, a conservative with social democratic tendency has some pain in stomach due to its risks. People of her age remembers Chernobyl and know how the affects can look like in case if there is an accident. Then Fukushima, and her U turn took place immediately. Merkel used the chance to shut down half of the atomic reactors immediately and decided not to extend the running licence of 9 others, meaning, by 2022, all atomic reactor facilities will be closed. This was a wow moment for the environmentalists. Critics blamed her for being too optimistic, correctly. We did not know where the energy will come from when atomic reactors are closed, especially in the time of quasi cold war with Russia and how the big companies with hundred thousands of employees will power itself. However, Merkel remained silent. Sometimes silence is the best answer as time teaches. 2 years after this policy was enacted, a research found out that suddenly German companies are so forward in Green technologies that people from other side of the atlantic started telling Germany as 'The Green Super Power'. Companies like Siemens are building mega batteries enough to power itself for a long time. Government is funding the research, an 800 billion dollar Solar Project going on, developments in other forms of Green Energy. She again proved, only when you are no other alternatives, you will start to invest your effort and money in it, towards Green energy. Today, Merkel is success. Her 'Energiewende' is an example of 'leading by doing', which is a huge contribution to the climate of our Earth. She has been , probably, the only conservative politician in the world to campaign for the climate. She gave a clear lecture to Donald Trump that Climate Deals are not to be negotiated, its been finalized. She remained strong despite all other costs. When our home is destroyed, economy makes no sense. This is why I like her.

Merkel is a hippi head of state. People were claiming, 'your Army is out of date, they dont have modern weapons, they are not family friendly, army is not an attractive job', comparing to other countries, and so on and on. Her answer, ' only if you have no power, you are interested in peace, as long as you have weapons and power, why should you bother for peace'. So she reduced the number of German Army from 240,000 to 170,000. Germany does not need that much army, it never went to war against any country outside Europe , except in World War I and II. War is impossible in Europe, so why keep so many people in the Army. Then she made a mother of 7 children , Ursula von der Leyen, defense minister. It was talked further. Von der Leyen , a medical doctor , was to reform it. She took no more minutes to reform it. Bundeswehr is very family friendly today and participate in more humanitarian mission than the past. The most important reform, a historical one, was that Merkel and von der Leyen abolished the compulsory military service for the men. This was a policy that is as old as Germany. Despite some war, generally saying, the world is very peaceful today than anytime in history. So, more time for the family and friends and less for weapon and war.

As a woman, she was determined to help other women. One of the major problems in Germany are single mothers. If you have children to take care of, you can forget about career, employment and so on. Even for a married couple, taking care of children and working is not that easy. Merkel's answer to that was 'Elterngeld'. She would give money for up to 14 months after a birth of a child and even more under some conditions. This was aimed to support single mothers financially. If the mother was employed before the birth of the child, she would get more support from the government as a part of her salary during the time she raises her child. This increased employment of women as well. On the other hand, if the husband decide to take care of the child, he would get support as well. This is particularly logical when the wife earns more than the husband. The one earning less could take care of the child. In some state, when a child was born, a compulsory leave was granted for the father too. This was a powerful tool against discrimination against women because, before, employers were unwilling to hire women because they should give them leave for a year if they are in child bearing age. Now, if fathers get compulsory leave as well, it makes no sense at all. However, this rule is yet to be ratified in most states. Hopefully soon.

Merkel's judgement day was during the time of Refugee Crisis in 2015. Whole world praised her for being humanitarian, for letting in 1 million refugees from war torn Syria but people at home were sceptic about their integration and other dangers for example from the potential terrorists. However, she refused to spread fear in peoples mind. Fear is a dangerous thing. Fear fuels hate and hate fuels war. Germany already suffered the most from war in the past, fueled with wrong kind of fears. She tried everything to convince the public that we can do it. a strong country of 82 million people can help 1 million refugees. She also knew that Germany cant afford 1 million refugees every year. So, she had to play more international role. She went to countries suffering with this problem, made a deal to help there directly, helped them economically, to make their economy robust, she made deal with Turkey, with Mali and few other african states. As a result, in the year 2017, until July, number of Refugees coming to Germany reduced to 70,000, lowest figure since one and half decades. Germany was praised in the world as being a humanitarian country, it now has lots of refugees who is thankful to it for the support they were given and despite few bad guys among them, there will be many doctors, engineers, economists, actors and good citizens among them in the future. Merkel's softness prevailed. This was proved the the NRW election, as CDU got the largest number of vote and is now building a coalition government. This is an evidence that her policies, her leadership is a success.

Germany involves more in international politics now, it has doubled its development aid, especially humanitarian aid, which is the most critical, it has maintained strategic relationship. Merkel, despite being a total opposite opinion than Donald Trump, has maintained its relationship with no effect on the economy. When he goes too far, Merkel has not hesitated to speak out and express of opposition. She has been a friend and enemy of Vladimir Putin at the same time. She has done all her best, not to punish Russia more than necessary for its deeds , for example in Crimea. She supported her sanctions only based on this action because an invasion is not acceptable. She has expressed her clear opinion about the treatment of homosexuals in Russia. She has mentioned clearly that freedom of speech is a human right and that should be respected and practiced pressure on Russia concerning Pussy Riots. There are things that cannot be dealt for anything, rather be ignored. Her stances are clear and her priorities are clear. Human Rights and Freedom has better priorities than economy. Despite all this, she has also maintained a good relationship with Putin. Putin loves the company of Merkel. Putin, a fluent speaker of German , for having lived in Dresden for a long time and Merkel, a fluent speaker of Russian , learnt during her school time , are good friends and strategic partner. High ranking political scientists have expressed several times that the only country Putin fears is Germany, which was due to the tactical policies of Merkel and obviously other German politicians.

I admire her for her service for the country, for Europe and the world. Being asked by an interviewer, 'how many hours do you sleep, or can you sleep' Merkel answered,  ' not more than 6 hours a day. and this since 12 years. She has remain reachable via mobile 24/7. Even during her weekend, vacation , she should remain stand-by to return to work. Anyone who doubts her efforts,  please try to sleep just 6 hours for a day for a week, anyone over 30 will fall sick after that. Now imagine a woman of 62 years of age is doing that since 12 years. This is a service for humanity.


Along with all her policies, Angela Kasner, who became Angela Merkel, awarded highest honour of 9 countries, honorary degrees of 10 elite universities along with dozen other honours and Forbes 'Most powerful woman of the world" for 8 times is certainly the most important female leader of the world. Raising up from a conservative party of men to the most powerful woman of the world for 8 times needs courage, hard work, intelligence and many other skills that rarely anyone has achieved. Angela Merkel is an example of epitome of success. Obviously, not all people like her or at least some or many of her policies but , as a whole, given her situation and the responsibility she bears, she has done a lot in the last 12 years. Her all policies, including the recent 'Green Signal" to same sex marriage, which was passed by the parliament to her energy policies, humanitarian policies, social and economic policies are real success, envied by many countries. Hence, I will consider Angela Merkel as a successful politician who will be remembered for a long long time by the Germans and the world.

There is one red line that we should not cross. It is a commitment to human rights, the respect of the dignity of the human being. There should be no compromises." - Angela Merkel 

“Fear has never been a good adviser, neither in our personal lives nor in our society. Cultures and societies that are shaped by fear, will without doubt not get a grip on the future.” - Angela Merkel 

"As the G20, we cannot ignore the challenge that climate change poses to all of us in the world.” - Angela Merkel 

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