Gabriel Felbermayr, an expert in economic affairs, supports the measures agreed upon by the Coalition Committee. Speaking to the Handelsblatt, he stated that the Federal Government’s capacity to implement truly forward-thinking reforms is excellent news, expressing hope that modernizing the country is achievable, particularly since the process appears to be grounded in factual analysis, constructive dialogue, and expert input.
Felbermayr finds the deal rational: providing tax relief to small and medium-sized incomes while financing it through a higher wealth tax. Furthermore, he considers the planned wealth tax rate of 47 percent to be moderate and praises the relaxation of dismissal protection for high-earners.
The economic expert Simon Jäger from Princeton University also praised the coalition’s plan, arguing that the regulation represents a crucial step toward increasing mobility within the labor market. However, Jäger questioned the decision to allow businesses to utilize up to six consecutive fixed-term employment contracts, cautioning that under such conditions, many employees might strongly consider leaving their current positions.
