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The latest news, debates, proposals and developments on new economic thinking at a glance.
Policy Innovation for a New World Order – Intereconomics Forum
Intereconomics – Review of European Economic Policy, Volume 60, September/October 2025, Number 5
How can democracies regain public trust? New contributions from the Berlin Summit 2025 in Intereconomics outline ideas for rebalancing markets, the state and society.
Nobel Prize winner in economics sees jobs threatened by AI – Article
DIE ZEIT, 14.10.2025
Artificial intelligence has “incredible potential” to destroy jobs, warns Nobel Prize winner Peter Howitt. The technology must therefore be regulated.
The AI bubble is a bigger global economic threat than Trump’s tariffs – Opinion (Paywall)
Alan Beattie, Financial Times, 16.10.2025
America’s use of import duties has been constrained by financial markets and economic reality.
The smart money in public finance – Opinion (Paywall)
Martin Sandbu, Financial Times, 16.10.2025
Squeezed finance ministers should go big or go home.
Deliveroo Politics – Article (Paywall)
Andrés Velasco, Project Syndicate, 10.10.2025
According to conventional wisdom, populists are continuing to be elected because democracies have failed to “deliver.” Why, then, are populists winning even in countries where economic growth is strong and inequality is stable or declining?
„Many people feel their prosperity is under threat“ – Interview
Interview by Julian Olk and Sven Prange, Handelsblatt, 16.10.2025
Sociologist Steffen Mau and politician Ricarda Lang discuss the lack of reforms, the crisis of the political center, and why Markus Söder is better than his reputation.
The case for a big, one-off wealth tax – Commentary
Pierre Briancon, Reuters, 13.10.2025
It would help fight tax inequality, and could be justified by the extraordinary spending burden that governments are facing.
Regional Economic Transformation in Germany: The Origins and Evolution of the Saarland Transformation Fund – Analysis
Rohan Sandhu and Sebastian Buck, Harvard Kennedy School, October 2025
Germany faces a generational challenge: how to decarbonize its industrial base without undermining competitiveness, fiscal discipline, or social cohesion.
Is France Pushing Europe Into a New Debt Crisis?
Michael Brächer, DER SPIEGEL, Oct 7, 2025 – Article (Paywall)
“The formation of a new government in France has failed – and financial markets are reacting nervously. Commerzbank economist Jörg Krämer warns that excessive public debt could threaten the stability of the euro.”
The China Shock – Article (Paywall)
Dalia Marin, DIE ZEIT, Oct 4, 2025
“First, exports from the Far East flooded the U.S. – now Germany is following. Smart partnerships would be the best response.”
Three Apartments = Inheritance Tax. 300 Apartments = Tax-Free. What? – Article (Paywall)
Tim Schellenbach, DIE ZEIT, Oct 7, 2025
“Every year, billions are gifted or inherited in Germany – often tax-free. The wealthy benefit from generous exemptions. How inheritance could become fairer.”
Climate Loans Often Worsen Debt Crises
Theresa Walter, taz, Oct 7, 2025 – Article
“Two-thirds of climate financing for the Global South consists of loans – driving it further into the debt spiral. Industrialized nations benefit.”
Still Unstoppable
Anja Krüger, taz, Oct 1, 2025 – Article
“Renewables are unstoppable. But Katherina Reiche should be watched particularly closely now.”
Germans Must Let Go of Their Full-Coverage Mentality Toward the State
Claus Hulverscheidt, Süddeutsche Zeitung, Oct 7, 2025 – Article (Paywall)
“Germany needs more than a season of mini-reforms: to get the country back on track, a true change in mindset is required.”
The Renewal Crisis
Enzo Weber, Makronom, Oct 6, 2025 – Article
“Hardly a day passes without reports of layoffs in large German corporations. But the real problem lies elsewhere.”
Migration Is the Key to Global Prosperity
Carlos Alvarado-Quesada and Katrina Burgess, Project Syndicate, Oct 6, 2025 – Article
“In many democracies nowadays, migration is discussed in visceral, emotional terms that bear little resemblance to reality. If that does not change, the future costs of mismanaging the issue will fall on everyone – not least the world’s aging, fiscally strained democracies.”
Tax for the Super-Rich? Feasible in Germany Too
Thomas Hanke, Handelsblatt, Oct 10, 2025 – Article
“Gabriel Zucman’s idea of a tax for the super-rich is at the center of the political debate in France. Zucman’s approach is also worth considering for Germany.”
The Comeback of the U.S. Economy Has Two Deceptive Drivers – Article (Paywall)
Heike Buchter, ZEIT, 29.09.2025
The U.S. economy is outperforming nearly all forecasts. But the balance sheets obscure the reality of rising unemployment, weakening consumption, and growing inequality.
A New Paradigm for Financing Education – Article
Bola Ahmed Tinubu, Jakaya Kikwete, Project Syndicate, 29.09.2025
In addition to replenishing global financial support for education, developing countries also need a new strategy to build self-sustaining education systems capable of consistently delivering quality for all children. To that end, the issue should be placed at the center of all national development plans.
“That’s Not How Innovation Works”
Interview with Simon Johnson, FAZ, 01.10.2025 – Article (Paywall)
Simon Johnson received the Nobel Prize in Economics. Here he explains why he believes the potential of AI is overestimated, how Donald Trump harms the economy, and where Europe can now take on a leadership role.
The Myth of the Budget Shifting Yard
Jens Südekum, FAZ, 30.09.2025 – Article (Paywall)
The government is accused by the opposition and economists of using the special fund to plug budget holes instead of investing. This criticism is vastly exaggerated, writes Jens Südekum, who advises the finance minister.
Number of Unemployed Falls Below Three Million – But Still at a High Level
Alexander Hagelüken, SZ, 30.09.2025 – Article (Paywall)
In Germany’s industrial sector alone, some 200,000 jobs will likely be lost this year and next. Only a possible upswing offers hope. Economists propose reforms.
Fully Automated Luxury Liberalism?
Kai Brüggemann, taz, 30.09.2025 – Article
Hamburg will soon vote on a basic income. Our guest author doubts that this would really make today’s society fairer.
The people who came up with the debt package are really criticizing the coalition – Article (Paywall)
Jan Hildebrand, Julian Olk, Handelsblatt, 23.09.2025
Well-known economists advised the CDU/CSU and SPD on easing the debt brake. The consequences are evident in Klingbeil’s budget for 2026 – just not in the way several advisors had wanted.
German Economy: “Not great, but not a disaster” – Article
Simon Poelchau, Taz, 25.9.2025
Despite the billions from the special fund, economists expect only minimal growth. They are debating how things could improve again.
What this economist recommends for dealing with the AfD – Article (Paywall)
Interview by Bastian Brinkmann, DIE ZEIT, 19.09.2025
The president of the Berlin Social Science Center, Nicola Fuchs-Schündeln, has already presented her findings to the CDU/CSU and SPD.
Did the political establishment pave the way for Trump and Farage? – Article (Paywall)
John Burn-Murdoch, Financial Times, 25.09.2025
New research suggests mainstream politicians created an opening for the populist right.
This world is gambling away the future – Article (Paywall)
Commentary by Michael Bauchmüller, SZ, 24.09.2025
In September 2015, the United Nations set itself ambitious goals for sustainable development. Ten years later, it is light years away from achieving them. No one will be spared the consequences.
Global private wealth is higher than ever before – Article
DIE ZEIT, 25.09.2025
Private individuals around the world have never been richer. Their wealth is set to increase even further, but it remains unevenly distributed. Germany ranks 13th among the richest countries.
Arguments for and against higher inheritance tax – Makronom Debatte (Paywall)
In recent weeks, the discussion about reforming inheritance tax has gained momentum again. Below, we list the arguments for and against higher taxation of inheritances.
In their eyes, those who have little have only themselves to blame – Article (Paywall)
Julius Kölzer und Mark Schieritz, DIE ZEIT, 16.09.025
It is often said that a more welfare-oriented state could slow the rise of right-wing populists. However, surveys show that AfD voters have a different understanding of justice.
“Otherwise civilisation will fail” – Interview (Paywall)
Interview: Roman Pletter, ZEIT Nr. 40/2025, 17.09.2025
Nobel Prize-winning economist Paul Romer warns against leaving the future solely to Elon Musk and Silicon Valley. He says Europe must tax Google and abolish Microsoft.
Greens see trickery in the governments new investment plans – Article
Martin Greive and Jan Hildebrand, Handelsblatt, 16.09.2025
Finance Minister Klingbeil praises record investments in his first budget. The Greens criticize that the large amount of debt will be used to plug holes in the budget – and have a study to back up their claim.
Study: €16.60 per hour would be the minimum for a good life – Article (Paywall)
Levi Henze, Surplus Magazin, 17.09.2025
When are wages too low? This should not be determined purely statistically, but rather by what people need to live.
Why Mario Draghi fears Europe’s decline – Article (Paywall)
Jan Diesteldorf, Süddeutsche Zeitung, 17.09.2025
A year ago, the former head of the central bank held up a mirror to Brussels and called for fundamental economic reforms. Since then, he believes far too little has happened—and urges swift action.
The EU’s secret weapon for economic success – Article (Paywall)
Martin Sandbu, Financial Times, 18.09.2025
A year ago, the former central bank chief held up a mirror to Brussels and called for fundamental economic reforms. Since then, far too little has happened, he believes – and urges swift action.
Tech Capital Is Dominating American Politics – Interview
An interview with Thomas Ferguson, Jacobin, 17.09.2025
While Donald Trump assaults civil liberties and the social safety net, Democrats are lost. Capital’s continued dominance of both parties and Big Tech’s machinations in particular are key to understanding our political crisis, argues Thomas Ferguson.