Berlin – The boss of the "economic ways" sees Germany also in view of a gloomy economic situation before important points.
"Above all, I would like to see a clear line for the future, which gives more space to the question of how wealth can be created in the future," said Chairman of the Council of Experts on the Review of Macroeconomic Development, Christoph M. Schmidt, of the German press. Agency.
Schmidt sees challenges especially in the labor market, pension and tax policy. He called on the federal government to completely abolish the solidarity surcharge.
In view of the tense situation in the housing market, especially in large cities, he said that the reason for the price increase was demand, which had risen sharply in relation to supply. "Instead of intervening in the price structure as with the rental price brake, the housing allowance should be adjusted, the social housing construction better designed, more land cleared and the land tax and land transfer tax reformed."
The German Council of Economic Experts presents its annual report today in Berlin. Economists are expected to lower their growth forecasts, as before, the federal government – also due to increasing capacity bottlenecks for companies due to a shortage of skilled workers.
"In our estimation, it will remain on the upswing, but at a slower rate of growth," said Schmidt, who is also president of the RWI Leibniz Institute for Economic Research in Essen: "We see no acute danger of recession."
At the same time, however, the risks to economic development are still high. "At the international level, this is above all the increasing departure from the multilateral global economic order, which has so far created a great deal of prosperity worldwide, and Germany depends particularly on it." The risk of an escalation of trade conflicts had increased. This raises the question of how the European Union can deal with Britain's exit from the EU and how the EU can be strengthened.
Nationally, the consequences of demographic change would become more and more apparent, Schmidt said. "At the moment we have a demographic breathing space, but it is coming to an end, and over the next decade baby boomers will retire, which will be a major challenge for us."
There are also increasing bottlenecks in the labor market, especially in health care and nursing. "To meet the skills shortage, it needs a policy mix," said Schmidt. "Make better use of existing workforce potential – for example, by increasing opportunities to return from part-time to full-time, flexible working hours and nursery day care." At the same time, human resources should be expanded through the involvement of more older workers and the immigration of skilled workers. The Federal Government is taking steps in the right direction with the planned Immigration Law.
In the pension policy Schmidt advertised an objectification of the debate. "There are many fears in the discussion about the falling level of protection, but this size is only the expression of the relative amount of a standard pensioner's pension compared to the average contributor's income better standard of living. "
The issue of pension is above all about intergenerational fairness, he said. "The following generations already have to bear relatively high loads." It would make sense, according to Schmidt, to adjust the working life from 2030 to the increasing life expectancy: "A higher life expectancy of three years could work two years longer and one year longer retirement." For those born in 1990, such an extension of working life would, according to the economist, mean a pension from 70. "According to calculations, the remaining life expectancy of 65-year-old men will be around 22 years, a good four years higher than today."