Habeck's business plan: recipe for success or risky state economy?

Habeck's business plan: recipe for success or risky state economy?

In a dramatic advance, Federal Minister of Economics Robert Habeck plans to get the stagnating German economy out of the misery with a huge investment and infrastructure fund. "That would trigger the large booster for the economy," said the Greens politician, demanding that companies will receive ten percent of their investments from the state in the future, financed by debt. This huge project is not only bold, but also controversial nature!

On the other hand, Finance Minister Christian Lindner (FDP) questioned the feasibility of these ambitious plans: "This is already a hammer," he said and spoke of a fundamentally different economic policy for Germany. Lindner denies that the proposal is easy to realize and warned of the limits by European lending law and fiscal rules. "We just can't just spend so much money," says his clear announcement.

criticism and support

The reactions are split: While some in the economy evaluate the initiative positively and praise the clarity in the topics mentioned, as Michael Hüther from the Institute of German Economy expresses, there is also sharp criticism from the political opposition. Thorsten Frei (CDU) accused Habeck to push the way into a state economy and thus create bureaucratic hurdles rather than economic growth. The deputy FDP chairman Bettina Stark-Watzinger also considers the approach to be not very convincing and warns of a drainage withdrawal through high taxes.

The project could redefine the economic conditions in Germany in the long run. But the concerns about financing remain on the table. A three -digit billion -dollar amount is to be financed on pump, which Habeck did not address directly. "It is not about a fundamental opening of the debt brake," he emphasized, but remains unclear how structured reforms should arise without accumulating new debts.