This is to a large extent due to currency exchange rate fluctuations. In 2008, the Euro was at its historic hight against the US Dollar while the the Dollar has appreciated a lot since then.
Luxembourg
There are so many possible variables in this:
– Euro way overvalued in 2008 vs the dollar
– US tech boom
– US Shale Boom
– Europe hit by successive crisis: GFC, Migrant Crisis, Pandemic, Ukraine War
– US demographic and pop growth are better
– ~~EU lost UK~~ and gained several small Eastern European countries (nvm UK wasn’t part of eurozone)
– Americans work longer hours and pay better to lure talent
– Cultural differences in general between Europeans who favor quality of life and free time
– US has the entire anglosphere (500m+ people) as a customer base and can thus fund and get returns on ventures way easier
– US is more centralized and can move and adapt more swiftly (and can also fuck up faster)
Moving forward I can see the following becoming influential factors:
– Capitalization on AI and other tech
– Electric Cars, solar panels, wind power, nuclear
– Energy Costs and reindustrialization
– Supply chain resilience
– Political instability and polarization
Measured in euros the US was in a depression from 2000 to 2008. Guess it was high time their luck changed.
Interesting.
GDP of Germany was $3,744.9 bil. by nominal and $3,217.3 bil. by PPP in 2008.
In 2022 it was 4,031.1 bil. by nominal and $5,316.9 bil. by PPP.
6 comments
This is to a large extent due to currency exchange rate fluctuations. In 2008, the Euro was at its historic hight against the US Dollar while the the Dollar has appreciated a lot since then.
Luxembourg
There are so many possible variables in this:
– Euro way overvalued in 2008 vs the dollar
– US tech boom
– US Shale Boom
– Europe hit by successive crisis: GFC, Migrant Crisis, Pandemic, Ukraine War
– US demographic and pop growth are better
– ~~EU lost UK~~ and gained several small Eastern European countries (nvm UK wasn’t part of eurozone)
– Americans work longer hours and pay better to lure talent
– Cultural differences in general between Europeans who favor quality of life and free time
– US has the entire anglosphere (500m+ people) as a customer base and can thus fund and get returns on ventures way easier
– US is more centralized and can move and adapt more swiftly (and can also fuck up faster)
Moving forward I can see the following becoming influential factors:
– Capitalization on AI and other tech
– Electric Cars, solar panels, wind power, nuclear
– Energy Costs and reindustrialization
– Supply chain resilience
– Political instability and polarization
Measured in euros the US was in a depression from 2000 to 2008. Guess it was high time their luck changed.
Interesting.
GDP of Germany was $3,744.9 bil. by nominal and $3,217.3 bil. by PPP in 2008.
In 2022 it was 4,031.1 bil. by nominal and $5,316.9 bil. by PPP.
WTF is going on?
I think I see this post every other day now.