For several decades, German politics and society have been shaped by two fundamental features – both of which have contributed to an enviable aura of stability. An electoral system embracing proportional representation has reflected and fostered a wider culture of social compromise and pragmatism, including “grand coalition” governments of left and right that would be unthinkable elsewhere. With regard to economic policy, an aversion to debt rooted in dark historical experience has placed a premium on balancing the books – embodied since 2009 in the “debt brake”, a constitutional limit on budget deficits.
In new and challenging times, however, fiscal rules may need revising if treasured consensual traditions are to continue to thrive. Amid recession and renewed austerity, a highly unusual wave of strikes and demonstrations taking place this week point to a country which is becoming disturbingly polarised.
