Germany has also a high labor cost and face strong competetions from Asia. Several years
ago Germany has also a very high unployment (about 9 percent) for quit a long time.
But Germany has been able to export a lot of machines and was number 1 in exporting
for quit a long time. One of the main difference between Germany and US is that
in Germany young people are encouraged to go to thchnich schools and get trained.
They are pround of being able to have some skill to find a black-colar work.
So in Germany there are enough well-trained skilled workers to make their product very competive.
