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Commission for debt brake reform
Germany
June 4, 2026
"The commission for debt brake reform has developed a new concept called 'Finanzpfad-Plus' to allow for more flexible deficit rules. The concept uses a mathematical formula to adjust deficit limits based on debt levels and economic growth."
Author: Markus K. Brunnermeier, Harold James, and Jean-Pierre Landau
This book provides a deep dive into the intellectual and historical foundations of German economic policy, specifically the 'ordoliberal' tradition that underpins the debt brake (Schuldenbremse). It explains why Germany is so resistant to fiscal flexibility and the ideological tension between fiscal discipline and economic growth.