"I have never known Berlin more annoyed with France," says Charles Grant, director of the CER."Seen from Berlin, Hollande has wasted two years achieving virtually no structural reform and failing to rein in spending."
Charles Grant, director of the CER, told the FT the issue was a serious problem for his group. "There is a danger that by threatening to take Britain out of Europe that relationship is about to come under unprecedented strain," he said.
"We will be wanting to make certain at a European as well as a national level that the right of people to work or retire around Europe does not become a right to travel around in order to collect social security benefits or commit crime." He was speaking at a fringe event hosted by the CER/BfB/BNE.
Take a look at the chart below from Christian Odendahl, the chief economist at the CER. Once you account for depreciation, Germany's public investment on construction and equipment has actually been negative the past decade.