21047Re: Euro go-ahead
- May 2, 2008That perception of loss of purchasing power with the Euro is might
strong, Martin. I have friends in Germany in a wide variety of
professions, from engineering to secretarial, machinists, tradesmen,
and grown students beginning their careers.
Without exception they all have the same perception that Sven
expresses in the posting you referenced. I have been back there once
or twice a year since I left in 1997, and I cannot say I have seen
anything to contradict their perception that costs have gone up
substantially while wages remained relatively flat. They seem to have
adapted a more modest life style without the luxuries they so readily
enjoyed before (I am talking about both working class people and
professional people), and it is common to hear them speak of weighing
the costs and delaying purchases and vacations where they did not
hesitate to spend money before.
From my American perspective, it seems they went from a relatively
care free life to worrying much more as we Americans always have;
until this real estate crisis hit America, I would have said the
Germans perhaps became even more worried about living and work
security and expenses than we Americans. However, with the housing
problems and recession, I hesitate to guess where any of us stand any
I certainly hope the change to Euro in Slovakia is much, much better
than the change as I witnessed it in Germany.
--- In Slovak-World@yahoogroups.com, "Martin Votruba" <votrubam@...>
>attributable> to "euro rounding" was 0.2%-0.3% in all of the countries
> > whether it is fact or perception but it seemed when other
> > countries switched to the Euro, prices went through the roof.
> Perception. Data have shown consistently that inflation
that adopted> the euro in the past. Sven has described recently how
the perceptions> in Germany differ from that:
>enormously> exaggerated negative perceptions of inflation and of what
> > I can't help but believe the perception at least
> > will be the same in Slovakia.
> I'm sure it will. Opinion polls have shown that people in the euro
> countries ascribed all the subsequent inflation (that would have
> occurred anyway) to the adoption of the euro, and exaggerated the
> total inflation to boot.
> Moreover, earlier opinion polls have shown the Slovaks have
they see as> results of government policies, so the euro will most
likely open the> floodgates for adverse overstatement and whining next
>the> previous year's inflation was a staggering 18% while the actual
> In a poll four years ago, for instance, the Slovaks estimated that
> inflation was 3.3% and average salaries grew by 6.3%.in> the Czech R., Poland, Slovakia, and Ukraine showed that the most
> There have been other polls that have shown a similar inclination
> towards pessimistic overstatements concerning issues that can be
> perceived as results of government policies. One comparative poll
> negative about such issues and farthest off the mark were the Slovaks.
> votruba "at" pitt "dot" edu
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