To address the distributional consequences of high inflation rates, measures are needed that target those most in need without distorting prices. The function of the price as scarcity signal is important to encourage energy saving. Direct price subsidies such as the fuel price rebate, on the...

Living costs in Germany have surged since Russia’s attack on Ukraine. In this article, we discuss pros and cons of different government policies to protect affected citizens. There is a vast domain of possible relief options, each coming with its own trade-offs and design pitfalls. Information...

With the current high inflation, bracket creep is back on the agenda. The federal government has introduced a bill to compensate for this effect, among other things, by shifting income tax brackets. In the debate on bracket creep, the point of reference is very important. Results differ greatly...

In this article, we point out requirements for potential output estimates used for cyclical adjustment in the German debt brake. Further, we propose supplementing the cyclical component in the debt break with an error term - regardless of the specific potential output estimation approach. The...

Christian Lindner, Bundesminister der Finanzen, stellt den Regierungsentwurf für denBundeshaushalt 2024 und den Finanzplan bis 2027 in den Kontext seiner finanzpolitischenStrategie und leitet den weiteren Handlungsbedarf ab. Um Prioritäten zur Stärkungvon Zukunftsausgaben setzen zu können,...

Das Urteil des Bundesverfassungsgerichts vom 15. November 2023 zum zweiten Nachtragshaushalt 2021 hat die Haushaltsplanung der Bundesregierung durcheinandergewirbelt. Der Nachtragshaushalt wurde als nicht mit der Schuldenbremse vereinbar angesehen. Das Urteil hat nicht nur Auswirkungen auf den...

With its judgement on the federal budget, the German Federal Constitutional Court has thrown the government's financial planning into disarray. Important public investments are at stake, as the debt brake sets tight limits for the treasury and debt-financed shadow budgets. But the green...

The German Federal Constitutional Court has ordered a revision of public budgets following the correct interpretation of the German debt brake. The debt brake is an obstacle to necessary public investment needed for ecological transformation of areas such as housing construction and education....

Neben einem konjunkturellen Einbruch leidet Deutschland vor allem unter strukturellenProblemen, wie Unsicherheiten bei der Energieversorgung, einer zu hohen Steuer- undAbgabenlast, einer ausufernden Bürokratie sowie unter Arbeits- und Fachkräftemangel. Dabeiwird als Folge eine...