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“Land of Cockaigne, that doesn’t work”: At “Illner”, top economist Fuest makes a clear statement to Lang and Lindner

2024-02-23T09:22:49.715Z

Highlights: “Land of Cockaigne, that doesn’t work’: At “Illner”, top economist Fuest makes a clear statement to Lang and Lindner. “Economy on the verge of a crash – traffic lights without a course?”: The guests of the show Ricarda Lang, federal chairwoman of the Alliance 90/The Greens party Christian Lindner, FDP party leader and Federal Finance Minister Clemens Fuest, entrepreneur Bertram Kawlath.



As of: February 23, 2024, 10:11 a.m

By: Hannes Niemeyer

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Split

Economic stress in “Maybritt Illner”: First Lindner and Lang discuss the welfare state and defense spending – then economist Fuest dismantles their wishful thinking.

Berlin – “We are coming out of the crisis more slowly than hoped,” said Robert Habeck on Wednesday.

The Minister of Economic Affairs presented the annual economic report in Berlin.

Prognosis?

Dramatic.

While 1.3 percent growth was still expected in autumn 2023, the prospect has now shrunk to 0.2 percent.

A value that once again confirms: Germany is deep in recession.

When it comes to the Growth Opportunities Act, which is supposed to be a measure in the right direction, there is once again a problem among the traffic light parties.

Lindner and Lang at “Illner”: Focus on the welfare state and defense spending

Maybrit Illner's talk group also took on this topic on Thursday evening (February 22nd) under the heading "Economy on the verge of a crash - traffic lights without a course?" and discussed it with a top-class group.

In addition to entrepreneur Bertram Kawlath, Ricarda Lang, who recently made revealing statements about the payment card for asylum seekers, was also a guest.

Also present: Finance Minister Christian Lindner and ifo boss Clemens Fuest, who recently warned that working full-time could no longer be worthwhile.

The focus of the debate at the start of the talk: the German welfare state.

The Union is demanding massive savings, particularly when it comes to citizens' money.

At the same time, defense spending is increasing.

Green party leader Ricarda Lang makes it clear that it is right to invest there, but also states: There should be no savings, especially when it comes to social spending.

It is important for external security not to come at the expense of social security.

“Maybritt Illner” on the topic “Economy on the verge of a crash – traffic lights without a course?”: The guests of the show

  • Ricarda Lang, federal chairwoman of the Alliance 90/The Greens party

  • Christian Lindner, FDP party leader and Federal Finance Minister

  • Clemens Fuest, economist and president of the Munich ifo Institute

  • Bertram Kawlath, entrepreneur

When it comes to the welfare state, Lindner agrees with Lang's statements - then there is disagreement again between coalition partners

Finance Minister Lindner did not criticize Lang's decisions.

On the contrary.

The FDP leader is “not in favor of restricting social security either”.

However, when it comes to citizens' money, he also sees the recipients of the same as having a responsibility.

True to the motto: If you can work, you should look for a job.

“This is good for their life chances and for the public purse, emphasizes Lindner.”

At the same time, he is “decidedly in favor of ending illegal migration into our welfare state”.

These are expenses that are simply related to a “loss of control that will soon end, thank God.”

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An approach that once again causes disagreement between the partners in the traffic light coalition.

Lang doubts “that we can cover our defense spending through this alone.”

Even presenter Illner understands that “that’s not a nice introduction to this show,” but lets Lindner explain where savings can be made in the household.

“We need dynamic growth,” is the finance minister’s first point.

In addition, “there may not always be new subsidies, new social spending, new standards.”

Then ifo boss Clemens Fuest intervenes in the discussion.

Defense at the expense of the welfare state?

Fuest turns directly to Lang.

© Screenshot ZDF

At “Illner,” top economist Fuest addresses Lang directly: “Guns and butter, that’s the land of milk and honey.”

According to Fuest, a look at the past shows: “If you had to spend more on the military, then there was less left for other things.”

Then he turns directly to Ricarda Lang.

He understands the desire not to say: “I’m sorry guys, we’re now cutting back on our welfare state.”

But Fuest states clearly: “But that will be the case.

Guns and butter – it would be nice if that were possible.

But that’s a land of milk and honey, that’s not possible.”

Instead, Fuest firmly assumes losses, as he puts it, “cannons without butter”.

“The debt can’t prevent that.”

Fuest then agreed with Christian Lindner: “Producing more is the only way out of here if we want to be able to continue to finance our welfare state.”

There were also reassuring words for everyone who shares Ricarda Lang's view.

Fuest is sure that the German welfare state can “continue to be financed” – “but it will just be smaller.”

(han)

Source: merkur

All news articles on 2024-02-23

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