Germans are usually pretty smart people, they know their stuff. So how could German economists get it so wrong? They went to universities, they studied economy and passed the exams. And while they have a different experience with history, would that alone explain the opposite view they hold on the monetary crisis the EZ is still in?
I don't think so.
Let's look at Greece. Unemployment is way up, wages are down. Pensions and unemployment benefits are down. The Greek state is not able to collect the taxes from wealthy Greeks, nor from foreign companies.
That may look pretty awful for you and me, but it's the closest thing to paradise on earth for some very influential people.
So when the traditional Greek political parties (all of them) organised this disaster for their own people, everything was ok for Europe. Only after the desperate Greek electorate put a leftist government in place, the European parliament discovered that "the necessary reforms had not been carried out" and the Greek tax system wasn't very efficient.
You just know something is wrong when Guy Verhofstadt is accusing a leftist government about not wanting to tax the rich: www.youtube.com/watch?v=P84tN0z4jqM
When he was pm in Belgium, our tax system was effectively gutted creating very large lope holes for big companies and banks. At the same time, our justice system has been reorganized into chaos so not a single one of the big cases against tax evasion or corruption was successfully tried.