Environmental policies produces more inequality than neoliberal ones, says Malte Lehming in the Wall Street Journal. He works for Der Tagesspiegel, which has published the provocative German original (HT: Ava). He acknowledges German leadership in the green industry:
In 15 years, according to a government-sponsored study, green technology will overtake the automobile industry as Germany's core industry. A multi-billion-dollar market has developed, and Germany is the leader in many emerging branches, with a worldwide market share in green technology of around 16%. Some 1.5 million Germans already work in the green industry.
This progress, however, comes at the expense of the working classes:
The Greens like to portray themselves as fighting against the excesses of capitalism. Now it's clear that the ecological-industrial complex increases inequality more than neo-liberal policies ever could.
Meanwhile a very different situation in the United States, home of the so-called "military industrial complex." The midterm elections are bad for America's green industry and the future of the US economy in general, writes Carnegie Fellow John Judis in The New Republic. His article on the Lost Generation is among the most negative assessments of the Republican gains at Congress:
America's challenge over the next decade will be to develop new industries that can produce goods and services that can be sold on the world market. The United States has a head start in biotechnology and computer technology, but as the Obama administration recognized, much of the new demand will focus on the development of renewable energy and green technology. As the Chinese, Japanese, and Europeans understand, these kinds of industries require government coordination and subsidies. But the new generation of Republicans rejects this kind of industrial policy. They even oppose Obama's obviously successful auto bailout.
Instead, when America finally recovers, it is likely to re-create the older economic structure that got the country in trouble in the first place: dependence on foreign oil to run cars; a bloated and unstable financial sector that primarily feeds upon itself and upon a credit-hungry public; boarded-up factories; and huge and growing trade deficits with Asia. These continuing trade deficits, combined with budget deficits, will finally reduce confidence in the dollar to the point where it ceases to be a viable international currency.
Strong stuff! Both articles!. Germans are screwed in the short run, Americans in the medium run? And in the long run we are all dead. Speaking of which: Is Obama a Keynesian?