Proposals by the Commission for setting up a unified steel industry development program within the Community.
The Left Party in Germany is advocating for a shift in fiscal policies, particularly during economic downturns, by opposing the strict debt brake and advocating for a wealth tax.
Ines Schwerdtner, the Chair of the Left Party and budget spokesperson in the Bundestag, has been vocal about her opposition to the debt brake, which she believes hinders reasonable budget policy. She argues that funds from special assets, climate, and transformation funds are insufficient to meet societal needs and that the government should invest during a recession.
Schwerdtner and the Left Party Executive Board have called for the abolition of the debt brake to conduct reasonable budget policy. They believe that every euro invested in schools, hospitals, and public transport generates further value creation and increases tax revenues.
To finance expansionary budget policies and social investments, the Left Party strongly supports the reintroduction of a wealth tax targeting the richest individuals. This contrasts with the current government’s preference for spending cuts or limited borrowing increases. The Left anchors its budget policy positions in social justice and ecological transformation, emphasizing redistribution as essential during recessions to protect vulnerable populations and sustain demand.
Schwerdtner finds Klingbeil's cut targets to push the black-red budget policy to an extreme. Klingbeil has called for cuts of 30 billion euros in the federal budget, with specific targets on armaments. However, the Left Party's budget policy proposal does not target the federal budget specifically on armaments for cuts.
Schwerdtner asserts that cash gifts to corporations, the upper class, and weapons purchases bring little to the national economy. Instead, she argues that money in the pockets of people with low incomes stabilizes consumption and secures jobs.
In summary, the Left Party advocates for a break from the strict debt brake policies during downturns and the implementation of progressive wealth taxation to support counter-cyclical fiscal policies and social spending during recessions, opposing austerity measures favored by centrist and right-wing parties.
- The Left Party in Germany is pushing for a departure from the debt brake, specifically during economic downturns, by advocating for the abolition of the debt brake and proposing a wealth tax on the rich.
- Schwerdtner and the Left Party are advocating for financing expansionary budget policies and social investments by reintroducing a wealth tax, contrasting with the current government's preference for austerity measures or limited borrowing increases.
