A porcelain factory outside of Dresden: Unemplyment is between 30 and 50 percent. And now we've learned if you stick to your own business, it's a dream come true. The profits of peace are enor- mous." But reunification has already weak- ened that strong economic base and the social welfare philosophy Germany be- came known for. The story of a recently privatized porcelain factory just outside of Dres- den demonstrates such problems. Christian Tassin is the president of Sachsishe Porcellan, the 19th compa- ny to be privatized in the east. The fac- tory has been in existence since the 18th century and is located in a build- ing that from the outside looks like it is ready to be demolished. Mr. Tassin, a French businessman and economist, came in 1990 and helped negotiate a deal with the state of Saxony, where he donated the valu- - The contrasts in Dresden are striking: Half the buildings are in disrepair, while in other places able porcelain collection to the state. In businesses are beginning to thrive. turn, all debts were written off. "It was cheap to buy but the risk is Economy Without Philosophy system changed. We have to get con- enormous," Mr. Tassin says. nection with the people," who don't un- In many businesses the new own- The fears about a reunified Ger- derstand a democratic system. ers face old, run down equipment and many again trying to dominate Europe With only two years in elected office, buildings and a labor force way beyond and the world are unfounded, say some he is just beginning to be critical of es- what is needed to run a company effi- leading observers. Reunification has tablishment politics. "The insecurity is ciently. proved to be an enormous undertak- here because the politicians didn't say Thus many people in the east are ing; cost estimates run around 150 bil- it all," he says. At first, people were told now out of a job — some estimates say lion marks per year for the next decade. reunification would not cost them. But unemployment is between 30 to 50 per- The country, say many, will have as government officials learned the real cent. "West Germany gave 260 billion enough trouble in the coming years costs, politicians were not forthcoming. marks to the cost of the east this year," dealing with the economic crisis, labor Says Mr. Schwarz: "You can see the he says. "Sixty billion of that was in- disputes, asylum seekers and foreign old way to practice politics for the east vestment; the rest is the cost of unem- workers. and west is not the way it can work for ployment." Mr. Joffe says Germans have the future. The western establishment Applying western labor laws and learned two crucial lessons in the years will have to be questioned by new peo- standards makes labor extremely cost- following World War II. "We got ple." ly. Wages, Mr. Tassin says, represent screwed when we tried to dominate. 80 percent of his costs. His workers ac- tually asked him not to give the legal- ly required raises because they knew that those raises would mean some workers would be fired. He too cites the psychological pres- sures as the westerners steamrolled their way through the east. "There is lots to be saved from this culture. Things were functioning here that were not so bad, like the scthal sys- tem. There were places for kids, no criminality, efficient recycling. "Communism was not only an econ- omy but an ideology. We came with an economy but no ideology, and people were missing it," he says. Within A Jewish Framework The principal task of Jewish com- munity leaders in Munich is to keep "Jewish youth within the framework of Judaism" says Chil Rakowski, the 'executive director of the Jewish com- munity. Folur synagogues, one kosher butcher, a kindergarten, elementary school and a community center provide the backbone for the task. Mr. Rakowski, a dynamic gentle- men with a shock of graying hair, ex- plains that in Munich the Jewish community numbers around 5,000. The largest Jewish population, between 10,000 and 15,000, is in Berlin. In a system alien to Americans, Ger- many supports religious communal in- stitutions by taxing citizens who declare their religion, then funnels the money from the tax to the various agen- cies. That is one reason why Mr. Rakows- Continued next page THE DETROIT JEWISH NEWS 27