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...little more than theory: nobody advocating them has experienced a downturn as dramatic as this one. But Dagmar Szabados has seen such spending before - she knows what it's like to be on the receiving end of a gigantic fiscal infusion. Szabados, a chemist by training, is the mayor of Halle, a mid-sized town in the middle of what used to be the German Democratic Republic (GDR), the formerly communist eastern part of Germany. Since the Berlin Wall fell, the old GDR has been showered with money. Overall, some $2 trillion has been pumped in - the equivalent of about...

Author: /time Magazine | Title: What Germany Got for Its $2 Trillion | 5/18/2009 | See Source »

...ultramodern water-treatment plants, a technology center on the site of a former Soviet army base just outside town, and - most needed of all - thousands of solid new jobs in a rebuilt industrial sector that has become home to U.S. firms such as computer maker Dell and Dow Chemical. Mayor Szabados waves to a corner of her office. Leaning up against the wall there are two dozen new shovels, several big trowels and an oversized watering can - all souvenirs from groundbreaking ceremonies around Halle since she took office in 1990, first as deputy mayor and, since 2007, as mayor. "Everything...

Author: /time Magazine | Title: What Germany Got for Its $2 Trillion | 5/18/2009 | See Source »

Given the enormous bill for reunification, such failings have inevitably given rise to a debate in Germany about the policy of propping up the east. In 2004, an informal commission headed by Klaus von Dohnanyi, a former mayor of Hamburg, concluded harshly that eastern Germany was still far from being able to stand on its own two feet. One of the commission's key findings was that industrial policy should have been better coordinated and the money invested in a few promising centers, rather than being showered as if from a watering can across the economic landscape. But the fact...

Author: /time Magazine | Title: What Germany Got for Its $2 Trillion | 5/18/2009 | See Source »

...somewhat protected because its firms don't export as much as their west German opposite numbers. An unmistakable streak of eastern stoicism helps, too. "I notice that when I'm in the west, the fear of this economic crisis is much greater than in the east," says Halle's Mayor Dagmar Szabados. "We've been steeled by crisis here." That may be true; but as the state of her town proves, being steeled by a crisis is not the same as rebounding from a slump into prosperity. The rest of the world: take note...

Author: /time Magazine | Title: What Germany Got for Its $2 Trillion | 5/18/2009 | See Source »

Supporters of the new status quo include a gay Democratic state senator, a reform rabbi, a Unitarian Church leader, a state gay rights advocacy group called One IOWA and Des Moines' mayor. Opponents include a Republican state senator, a Baptist minister, Iowa's Catholic bishops, the conservative Iowa Family Policy Center and a few county recorders (who acknowledge that they must still follow the law and issue licenses to same-sex couples.) Magistrates in at least seven of Iowa's 99 counties have decided this year not to perform any weddings - although most have declined to cite the same...

Author: /time Magazine | Title: The Fragility of Gay Iowa | 5/16/2009 | See Source »

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