Well, the wizarding world is nothing if not conservative, suspicious and slow to change, so I can certainly see a country where the predominant view is that magical people are superior to Muggles, and the insidious distrust/dislike of Muggle-borns that goes with that... BUT, Belasco, it's a matter of degrees, and it comes down to the specifics.

How is the average Muggle-born is treated in this Germany? Is it "I can't find a job and people give me dirty looks" bad, or "cornered and cursed in a back-alley" bad? Is there actual legislation from the Ministry restricting the rights of people who aren't Pure or Half-bloods? Generally tolerated, Voldemort's Ministry-style persecution, or somewhere in between?

My point is, if it goes too far, it starts to make less sense. There [i]is[/i] the International Confederation of Wizards to contend with, after all, and if there are overt hate-crimes against Muggle-borns that are supported by the German Ministry, I believe they would step in, and point to what happened fifteen years ago in Britain (even if they [i]do[/i] dislike Muggles, I don't think they'd appreciate being compared to Voldy). So, it would have to be a bit more subtle than that, I think... And it's entirely possible that subtle disapproval is what you're going for. I just don't know. Maybe the Germans [i]were[/i] more sympathetic to Voldemort's cause than the Brits. What's your thought on that?

EDIT: For example, that new law in our Russia against non-traditional propaganda has spurred a lot of new violence and hate towards the LGBT community over there. Is it that bad?