Blog post - 29. Jan 2025

Where will the money come from? This is a question that can arise not only when planning holidays, but also when planning budgets for the federal, state and local governments.

The fact that this is not so easy is also due to the debt brake enshrined in the German constitution.  This prevents the federal government from taking out new loans and it was precisely this debt brake that led to the end of the traffic light government.

Reason enough for us to shed some light on the situation. So it’s only fitting that this year we are also organising a new series of lectures entitled “Wissen machtZ!”.

It started with the topic of the debt brake. We invited Dr Sascha Keil, an economist at Chemnitz University of Technology, to speak on the subject. After an introduction to the various approaches to economic policy, he summarised scientific findings – the main insight: nobody really knows whether a debt brake is good or bad for economic development. However, the fact that the debt brake has consequences was well explained. The need for a high export surplus or a lack of public investment are just a few examples. Questions were then asked to increase understanding.

It remains to be seen what the new federal government will do with the debt brake. The only certainty is that it will keep us busy for a while yet.

Organiser:  Alter Gasometer e.V.

This measure is co-financed with tax revenue on the basis of the budget approved by the Saxon state parliament.