How much did this country need a new departure, a loosening of blockades not only in politics!

Especially the Greens and the FDP have expressed the desire for change in pictures and words since the federal election, and as the twelve-page results of the explorations show, the SPD is also trying not to stand in the way of change too much.

Even Armin Laschet and Friedrich Merz showed respect for the paper.

However, no one should be fooled by the efforts to create a spirit of optimism and the fact that the FDP can apparently achieve more than was feared: Should the traffic light coalition come, the different views of the parties, especially in economic and financial policy, will be earlier or break the ground later.

Probably the most important project of the three parties is at the beginning of their document: In order to modernize the country, the administrative, planning and approval procedures are to be significantly accelerated, among other things in order to force private and state investments.

That would indeed be an important step to enable more economic dynamism, but it will not be enough to create the legal basis for this.

There will also be a need for a change in mentality among those who have hitherto taken it for granted that projects in the interests of the entire country should at least be delayed if they did not seem to be in line with their own interests.

A future government will have to show great determination to turn words into deeds.

Squaring the circle

The very different financial policy ideas of the traffic light coalition will not be hidden behind formula compromises. The verbal recognition of the debt brake is less of a success for the FDP than a matter of course, because the SPD and the Greens do not see themselves in a position to bring together a majority for a constitutional amendment that was needed to make the debt brake disappear in the Orkus.

Then, however, the question arises as to how extensive investments in climate protection, digitization, education and research as well as infrastructure, among other things, should be paid for by the state if the public sector simultaneously finances “super depreciation” for private investments in climate protection and digitization, but does not raise taxes want. In view of the not very high growth expectations for the economy in the medium term, the increasing burden on the federal budget for pensions and the planned - and very sensible - abolition of the EEG surcharge, the financial policy “make a wish” is reminiscent of squaring the circle.

An attempt to keep things going, discussed in the past few days, could fail for legal reasons: Economists of different origins had expressed the idea of ​​borrowing generously in the coming year because the debt brake will remain suspended in 2022 due to the pandemic.

The funds brought into the fund would be used for investments in the medium term.

However, the question arises whether such a fund would be constitutional.

According to Robert Habeck, the fund has not played a role in the previous explorations.

The general economic climate is fragile

Alternatively, economists consider channeling public investments through special investment companies outside the state budget; then it would be possible to finance depreciation through the budget in favor of companies. The concept of the investment company is mainly represented by economists belonging to or closely related to the SPD; this also includes the idea of ​​mobilizing the state KfW more strongly for investment financing.

The modernization claim associated with the desire for an investment offensive would be in danger if a traffic light coalition became more active in terms of distribution policy than the exploratory document promises.

Because the general economic climate is fragile.

The energy transition will become expensive not only for companies, but also for consumers, and in conjunction with an inflation rate that is already higher than expected, which may also be more permanent than desired, the left in the SPD and the Greens will quickly demand more redistribution be asked.

In order not to fall behind economically, Germany primarily needs market economy reforms.