Reordering German Liberalism

Abstract

This article analyzes economic policy debates and parties’ policy positions during the 2021 Bundestag election campaign, with an emphasis on shifting conceptions of the economic role of the state. Focusing on fiscal and labor market policy, it argues that the election campaign and the commitments of the new Ampel coalition reflect increasing support for more robust state involvement in the economy. It argues further that these shifts in elite discourse demonstrate a continuing rethinking of Germany's economic model and the need to rebalance the relationship between public authority and the decentralized model of social organization and policy responsibility central to German liberalism.