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Germany’s Trade stumbles, Foreshadow of Bad Economy?

WASHINGTON — It looks like the German economy is slowing down, which is not good for the rest of the European Union’s eurozone. Germany has been sustaining the eurozone economy [1] and has been dictating financial policy because of their financial stability.

Reuters reports [2] the German economy is slowing down, which could signal impending future economic troubles [3].

German exports fell significantly for the first time since 2009 and the country’s industrial output also fell. Imports and demand for imports did rise and could indicate a robust economy, but the verdict is still out.

Germany saw a drop in demand for its products in Europe and in China, but European economist Jennifer McKeown believes that this deals “a blow to hopes that a strong recovery” is in order for the eurozone.

This does not comfort countries like Greece, Spain, Portugal or Italy, which are struggling to stay afloat [4] as their state debt exceeds their gross domestic product (GDP). France is also in a recession, and there is a lot of pressure on the government to right the ship.

Germany’s Chancellor Angela Merkel is looking for ways to decrease the high youth unemployment [5] rate in the eurozone, but it may not be enough in the months to come.