79 million out of Germany´s 82 million people don´t live in Berlin. Indeed, Berlin is in Germany, but not everything in Germany takes place in Berlin. In fact, most things don´t.
(Just a comment from a German who is getting more and more tired of people thinking that everything important in Germany happens in Berlin, or that everybody who wants to be important has to live in Berlin. Munich, Cologne, and Hamburg are just as wonderful and alive as Berlin.)