Ghost of Truth on Nostr: EU's Subsidy-Driven Economy Faces Harsh Reality as Insolvencies Surge The European ...
EU's Subsidy-Driven Economy Faces Harsh Reality as Insolvencies Surge
The European Union's prolonged interventionism and endless subsidies have cultivated an unsustainable economy, propped up by companies addicted to state handouts. These so-called "entrepreneurial welfare recipients" are now facing the harsh reality of positive real interest rates. With the tide turning, many can no longer sustain their debts. The recent slight uptick in real rates has already triggered a wave of insolvencies, exposing the fragility of these businesses.
Germany is now witnessing an alarming rise in bankruptcies, with insolvency filings soaring by 10.7% in August compared to the previous year. Since mid-2023, the monthly increase has consistently been in double digits. In the first half of 2024, over 10,700 companies declared insolvency—a staggering 24.9% jump from the same period in 2023. Creditors' claims have also skyrocketed, reaching €32.4 billion, more than double the €13.9 billion in claims during the first half of 2023.
As the EU’s subsidy-fueled bubble bursts, the call for free markets grows louder. It’s time to phase out the parasitic dependency on public funds and embrace a sustainable, market-driven economy.
#EU #Economy #InsolvencyCrisis #FreeMarkets #SubsidyBubble #EconomicReality #germany
The European Union's prolonged interventionism and endless subsidies have cultivated an unsustainable economy, propped up by companies addicted to state handouts. These so-called "entrepreneurial welfare recipients" are now facing the harsh reality of positive real interest rates. With the tide turning, many can no longer sustain their debts. The recent slight uptick in real rates has already triggered a wave of insolvencies, exposing the fragility of these businesses.
Germany is now witnessing an alarming rise in bankruptcies, with insolvency filings soaring by 10.7% in August compared to the previous year. Since mid-2023, the monthly increase has consistently been in double digits. In the first half of 2024, over 10,700 companies declared insolvency—a staggering 24.9% jump from the same period in 2023. Creditors' claims have also skyrocketed, reaching €32.4 billion, more than double the €13.9 billion in claims during the first half of 2023.
As the EU’s subsidy-fueled bubble bursts, the call for free markets grows louder. It’s time to phase out the parasitic dependency on public funds and embrace a sustainable, market-driven economy.
#EU #Economy #InsolvencyCrisis #FreeMarkets #SubsidyBubble #EconomicReality #germany