Das Imparitätsprinzip. The principle of unequal treatment. Risks and losses are booked when they become likely. Gains are booked only when realised. The asymmetry is deliberate and named. The German accounting system treats bad news and good news differently on purpose.
Hidden reserves
Stille Reserven. German commercial law permits hidden reserves — assets carried below their real value, so that value is available later if it is needed. International accounting standards prohibit their deliberate creation outright. German law treats them as prudence. The two systems disagree about whether understating your own strength is a virtue or a misstatement.
The prudence principle
Das Vorsichtsprinzip. Section 252 of the German Commercial Code requires that valuation be made prudently. Losses and risks are recognised as soon as they become probable. Profits are recognised only once realised. The principle exists to protect creditors, and it traces back to the first all-German Commercial Code of 1861.
The German balance sheet is built to understate.
German WWI planning
The outbreak of World War I demonstrated changes in warfare and warplans of both sides were thrown into disarray. This video looks on a strategic level how Germany attempted to find its path to victory in this new situation.
Otto von Bismarck is supposed to have said to Germans: “The biggest wisdom in the war is to know when to stop when you are succesful.”
Mike Tyson definitely said: “You can have all the plans in the world till you get punched in the face.”
How will Germany spend €100 billion?
Deutsche Welle: Shortly after Russia invaded Ukraine, German Chancellor Olaf Scholz announced a historic increase in military spending. It included a one-time sum of 100 billion Euros to swiftly upgrade the armed forces, and a pledge to spend at least 2 percent of Germany’s economic output on defense every year.
So what exactly is Germany planning to buy with these billions? Germany’s government has just announced it’s activating its early warning plan in anticipation of possible shortages of gas supplies from Russia.
Economy Minister Robert Habeck stressed that there are currently no shortages, but that the government would be establishing a crisis team to monitor the situation more closely. The move follows Russia’s demand for gas payments in rubles, which Germany and other western nations have rejected.
Medieval Germany
The Middle Ages. Germany has a lot to offer when it comes to this time period: Historic city gates, church towers and half-timbred houses.
In German cities and towns, you’ll find a lot of well-preserved Medieval architecture, much of it on the UNESCO World Heritage list. From Lübeck in the North to Bamberg in the South – we show you seven cities and towns which will make you feel like you’re in a fairytale.
Kant on planning
“Making plans is at times a luxuriant, boastful pursuit of the mind by which one gives oneself an air of creative genius, demanding what one cannot do, criticizing what one cannot do better, and suggesting what one does not know where it is to be found.”
“Pläne machen ist mehrmalen eine üppige, prahlerische Geistesbeschäftigung, dadurch man sich ein Ansehen von schöpferischem Genie gibt, indem man fordert, was man selbst nicht leisten, tadelt, was man doch nicht besser machen kann, und vorschlägt, wovon man selbst nicht weiß, wo es zu finden ist.”
Immanuel Kant (1724 – 1804), German philosopher.
Romantic Rhine
Castles, palaces, vineyards, and a romantic river valley: experience a train journey along the Rhine with DW’s Hannah Hummel. It is considered the most beautiful train route in Germany! Let’s start in Cologne!
Troubled by supply chain woes, German firms diversify and relocate
November 2021. Reuters. More than half of German companies doing business abroad are suffering severe problems in their supply chains or logistics, pushing them to diversify suppliers, shorten delivery routes and even relocate their own production, a survey showed on Tuesday.
The German economy has boomed on the back of globalisation over the past decade. But pandemic-related disruptions in the worldwide network of supply chains that used to turbo-charge its growth engine are now proving a critical weakness.
Germany’s Roman architecture
Although most of Germania was never conquered by the Romans, some of its western parts were incorporated into the Empire. Here the Romans brought all the hallmarks of their civilization, and left behind many impressive structures like bridges, baths, palaces and monuments. In this video we look at seven of these that are still standing in Germany.