Volker Wieland warns against further relief packages to fight inflation (Tagesschau.de)

In a concerted action, Chancellor Olaf Scholz, together with unions and employers' representatives, wants to find ways to counter the rise in inflation and the further increase in energy costs. Prof. Volker Wieland takes a critical view of this: "Measures such as the gasoline rebate and the 9-euro ticket seem to slow down inflation, because the goods and services in question are cheaper to buy." But in doing so, the state is supporting overall economic demand and ultimately driving inflation further, he said in an interview with Tagesschau.de.

It's just a game of "left pocket-right pocket," he warned. "The state is taking on additional debt for which the taxpayer will later have to pay."

Wieland also said one-time payments are not an appropriate measure. "There's no reason why the state should provide an additional transfer now that can benefit workers without burdening employers." The state already stepped in on the minimum wage this year, he said, providing an increase of more than 22 percent. "That's more than compensating for inflation."

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