IIRC the German economic situation just before WWII broke out was dire. With massive deficit spending and economic imbalance meant they had driven the economy to the edge of an economic cliff and had nowhere to go but war. I assume removal of any educated / reasonable administrators was part of getting that process going.
bix6 · 2h ago
“a fiscal conservative who subscribed to the “golden rule” of banking, which stipulated that a country’s indebtedness should never exceed its obligations.”
Hahaha how far we’ve come. The kids will pay for it genau.
hattmall · 2h ago
What does this mean exactly? "Indebtedness should never exceed obligations."
Isn't indebtedness an obligation? So are they not the same thing?
Jtsummers · 1h ago
What it's legally obliged to do (or spend, in this case).
In many countries, there's obligatory spending and discretionary spending. His perspective (per this, never read about him before) was that you should not take on more debt than is actually required to meet the obligations. Skip the discretionary spending if it would lead to debt.
For a household analogy: If you have $50 in the bank and a $100 electric bill, go $50 into debt. If you have $50 in the bank and want to go to a dinner that will cost $100, skip the dinner.
> Isn't indebtedness an obligation? So are they not the same thing?
Indebtedness is a consequence, paying off debts can be an obligation.
TL;DR: Hitler demanded that he do as Hitler wanted. The central banker said No and claimed the law protected his institutional independence. Hitler acknowledged this, but said that he'd just get rid of him extra-legally. The fearful central banker resigned his post in less than 2 months after Hitler became chancellor, got himself fobbed off to an ambassadorship in which he humiliatingly spent time propagandizing on the Nazis behalf, and was replaced at the central bank by a Hitler Lackey who did as Hitler wanted.
Fin.
The headline implies a vigorous resistance to authoritarian control, that didn't at all happen.
Hahaha how far we’ve come. The kids will pay for it genau.
Isn't indebtedness an obligation? So are they not the same thing?
In many countries, there's obligatory spending and discretionary spending. His perspective (per this, never read about him before) was that you should not take on more debt than is actually required to meet the obligations. Skip the discretionary spending if it would lead to debt.
For a household analogy: If you have $50 in the bank and a $100 electric bill, go $50 into debt. If you have $50 in the bank and want to go to a dinner that will cost $100, skip the dinner.
> Isn't indebtedness an obligation? So are they not the same thing?
Indebtedness is a consequence, paying off debts can be an obligation.
Fin.
The headline implies a vigorous resistance to authoritarian control, that didn't at all happen.