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The budget composition of the government in Germany

Author

Listed:
  • Florian Dorn
  • Stefanie Gäbler
  • Björn Kauder
  • Manuela Krause
  • Luisa Lorenz
  • Martin Mosler
  • Niklas Potrafke
  • Luisa Dörr
Abstract
The budget composition is an important indicator for the politics of governments. Decisions of the government on the allocation of money for different tasks are discretionary, but are also influenced by economic and social factors. We examined the budget composition in Germany at the federal, state and municipal level over time and compare it with the development in other OECD countries. The results show that Germany had high expenditures for social tasks, especially since the middle of the 2000s. With regard to investments, Germany’s contributions were really low compared to other OECD countries and high developed European countries. The same holds true for education expenditures, although those expenditures increased at the federal and state level. In terms of expenditures for defence and development, Germany did not fulfil the internationally agreed targets – but this holds also true for many other countries. Remarkably, the public spending ratio decreased on the federal, state and municipal level in Germany in the last years.

Suggested Citation

  • Florian Dorn & Stefanie Gäbler & Björn Kauder & Manuela Krause & Luisa Lorenz & Martin Mosler & Niklas Potrafke & Luisa Dörr, 2018. "The budget composition of the government in Germany," ifo Forschungsberichte, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 95.
    • Handle: RePEc:ces:ifofob:95
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    References listed on IDEAS

    as
    1. T. W. Swan, 1956. "ECONOMIC GROWTH and CAPITAL ACCUMULATION," The Economic Record, The Economic Society of Australia, vol. 32(2), pages 334-361, November.
    2. Thomas Strobel, 2015. "Schwache Investitionen und Tertiärisierung der Wirtschaftsstruktur in Deutschland," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 68(01), pages 43-49, January.
    3. Jan-Egbert Sturm, 1998. "Public Capital Expenditure in OECD Countries," Books, Edward Elgar Publishing, number 1500.
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    Cited by:

    1. Ludger Schuknecht & Christoph A. Schaltegger & Michele Salvi & Jan Schnellenbach & Thomas Lenk & Christian Bender & Mario Hesse & Gert G. Wagner & Stefan Korioth & Klaus Gründler & Philipp Heil & Nikl, 2021. "Zankapfel Schuldenbremse: Bewährtes Instrument auch in Krisenzeiten?," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 74(04), pages 03-30, April.
    2. Till Baldenius & Sebastian Kohl & Moritz Schularick, 2021. "Die neue Wohnungsfrage: Gewinner und Verlierer des deutschen Immobilienbooms," ECONtribute Policy Brief Series 019, University of Bonn and University of Cologne, Germany.
    3. Florian Dorn & Martin Mosler & Niklas Potrafke, 2019. "Deutschlands Budget im OECD-Vergleich," Wirtschaftsdienst, Springer;ZBW - Leibniz Information Centre for Economics, vol. 99(5), pages 368-370, May.

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