Overview

• Marcel Fratzscher, head of DIW, calls for a higher retirement age and reduced pension increases to alleviate financial pressure on younger generations.
• Fratzscher advocates immediate tax relief for low- and middle-income earners and businesses, funded by cuts to subsidies and higher wealth taxation.
• Monika Schnitzer, chair of the Economic Experts Council, highlights the importance of pension system reforms to limit rising contribution rates.
• Schnitzer stresses the need for targeted recruitment and integration of skilled workers from non-EU countries to address workforce shortages.
• Both economists urge streamlined, low-bureaucracy implementation of energy transition policies to boost productivity and economic growth.