The results of the European elections have made it abundantly clear to the Ampel (traffic light) coalition government that voters are no longer satisfied with its policies. This also has to do with the lack of results in critical economic areas. Bureaucracy Reduction Act – a pipe dream. Growth Opportunities Act – a drop in the ocean. Climate Change Act – cloud cuckoo land. Pensions Act – an open affront to the younger generation. This is partly due to a fundamentally wrong political approach from the coalition. Here is an attempt at a restructuring:

Distribution policy instead of growth policy. Instead of focussing on higher economic growth and thus also higher production, distribution issues take centre stage. The Chancellor's party (SPD) considers social policy to be its central mission. More social payments, more pensions, and more money from the state overall. There is nothing left over for investment in infrastructure, the prerequisite for additional business investment. However, this social policy does not create sustainable growth or prospects for the country.

Anti-capitalist reflexes. Every time it comes to private capital and returns, the alarm bells ring in the red-green coalition. Speculators! Without more trust in the capital markets, it will not be possible to raise enough money for the climate transformation, nor will it be possible to make the necessary investments in new housing or innovation. It is not recognised that the capital markets are part of the DNA of the business location. They have made the German economy strong.

Dirigisme. The majority of the government does not trust the price mechanism, because it may come up with different climate policy solutions than desired. This is why Economics Minister Robert Habeck is also focussing on dirigisme in energy policy, right down to the basement heating systems. He obviously considers himself to be better informed than the market. The problem is that dirigisme only works through patronising and controlling bureaucracy. This stifles growth and innovation. The state has never been the smarter investor. A planned economy has always led to economic and ecological disasters.

Justice absolutism. The pursuit of „justice“ is a noble goal, but the coalition is always on about specific case justice. This also leads to over-bureaucratisation, because every possible course of action has to be monitored. This, in turn, makes legal interventions highly complex and incomplete, which creates new injustices. The result? Companies and citizens are suffocating under a flood of forms.

Ideological dominance. To stop climate change, the Greens are focussing on technology targets. Heat pumps, wind turbines, and electric cars. The same applies to financial policy, where the FDP carries the debt brake before it like a monstrance. As the SPD is not prepared to cut back on social welfare, there is no money to modernise infrastructure. Ideologies prevent compromises, and poison the discussion climate, because the claim of absoluteness blocks everything.

Innovation scepticism. Almost every technological innovation in Germany has recently triggered a defensive attitude. This was the case with the use of robots, mobile phones and the Internet. What German invention since the fax machine or the MP3 format has caught the eye? In the case of artificial intelligence, too, Germany again seems only to want to prevent it. Other countries are spending money on infrastructure, training and data centres.

Fear of the citizens. A previous government had the courage to expect something of its citizens with the Hartz IV reform. A recipe for success! Today, too, a jolt – a new political approach – is needed. This is what distinguishes a democracy from authoritarian regimes – it is capable of self-reflection and can correct its course. Citizens need to learn why a change of course is worthwhile. Then, it would certainly be possible to win back many from the right and left fringes.