SPD financial experts: Lessons from the Corona crisis for economic policy - catalyst for change? Traffic light government on the right track!

SPD financial experts: Lessons from the Corona crisis for economic policy - catalyst for change? Traffic light government on the right track!

According to a report by vorwaerts.de, the SPD is critical of current economic policy developments and challenges. The effects of the Corona crisis have shown that an acting state can do many things better in economic policy. In particular, the resilience of the economy and the focus on health protection are central topics. The SPD sees the need to critically question globalization and is committed to relocating production back to Europe.

Current political measures such as targeted transformation policies, increasing the minimum wage and promoting renewable energies show the direction in which economic policy should develop. Economic policy in times of war in Ukraine and rising energy prices must be designed to shape change carefully and prevent social upheaval. Labor market policy plays a crucial role here, as well-trained workers are essential for transformation and maintaining prosperity.

The discussion about investments in the future and the role of the state in fiscal policy is of great importance. The question of whether tax increases or higher debts are necessary must be answered clearly. In the SPD the focus is on investments, which makes the debate about the debt brake and its redefinition necessary. To cushion the consequences of inflation, direct government payments and lump sums are an efficient option that reaches all citizens equally.

Current developments show that the SPD is steering its economic policy efforts in the right direction and is actively facing the challenges. Investing in the future and redesigning fiscal policy are crucial steps to strengthen economic resilience and prevent social dislocation.