Economist Kenneth Rogoff of Harvard University advises investors to invest in Europe, citing the continent’s potential for growth. “Europe is arguably the place in the world with the most reason for optimism” he said in an interview with the German magazine Stern and Capital. “Over the past 20 years, Europe has fallen so far behind that it now has a lot of room to catch up.” If he were an investor, Rogoff would consider investing in Europe.
The Harvard professor attributes his optimism to the challenges facing the United States, stating, “The US is harming itself.” This, he believes, presents an opportunity for Europe and Germany. “Even in basketball, if the two best players on the other team are injured, you can still win.”
To achieve this, Rogoff emphasizes the importance of military modernization. “You haven’t invested in your armies in 40 years, now you need to catch up” he said. With Germany’s relatively low debt, this is a feasible goal.