Real Estate /
Poland Property Boom Spills Over to Poorer Neighbouring Country - GERMANY [39]
you might onto something but comparing those two countries and how they handled post-communism is not really a good thing.
Poland became democratic and FORMER east Germany joined a well developed West Germany, receiving a lot of subsidies,
Comparing them is actually a good thing cause it tells u how far Poland progressed and how little did Eastern Germany progress. I actually think it went backwards.
I mentioned this anecdote elsewhere on the forum but here goes anyway. In 1989, Ive seen poles coming to Germany with 4 bottles of vodka, they'd sell 3 of them, send the proceeds back to the mrs at home, drink the 4th one, go commit petty crime and spend a couple of months well looked after in a German prison.
The proceeds of selling those 3 bottles of vodka, in the days of the Deutsch Mark, was enough to provide for his family for a while.
Nowadays, right across the boarder, property prices are higher in sczezcin.
I rest my case.
My point is that German politicians screwed up eastern Germany by pumping in subsidies that basically wiped out any economical comparative advantage they might have had. It worked ok for about a decade as it gave eastern Germans the sense of being wealthy. But long term wise, it was reckless and suicidal.
It’s all unraveling now.
PJ