Gabriel Felbermayr, proponent of the new economic approach, welcomed the Federal Council’s decision to halt the planned “relief subsidy”. Speaking to RTL and ntv, Felbermayr criticized the measure, stating that the subsidy is too imprecise in its targeting and excessively expensive. He strongly advised the government that if relief aid is genuinely desired, far better methods exist. Furthermore, he noted that given the current strained budget situation, the fundamental question must be whether any large-scale action is necessary in the first place.
While acknowledging that fuel prices are elevated, he point out they are not “excessively high”. If policy still aims to provide support, Felbermayr advocates instead for highly targeted assistance. He suggests that the most effective way to help is through precisely measured direct payments to households that are currently facing specific financial struggles. In stark contrast, he dismissed uniform measures-often referred to as the “blanket approach”-as the worst possible alternative.
