Kurzstudie Transformationsgeld

Against the backdrop of the challenges set by the climate crisis and the current problems caused by the energy and raw materials supply problems following Russia's war against Ukraine, the German government is forced to act quickly and purposefully. In addition to ensuring security of supply, the social hardships caused by the sharp rise in energy and food prices must be cushioned. In order to cope with this task in the best possible way, a political instrument is needed that addresses the necessary changes in the way of life and the economy as well as relieving social hardships.

This Wuppertal Report first collects existing policy instruments that do not prescribe recipients how to spend received transfers. We then analyse instruments with a SWOT analysis and present a first concept for a so-called "transformation assistance", a transfer instrument that accounts for the multidimensionality of the current problem. The transformation money is conceived as an earmarked state transfer in order not to restrict consumer freedom and not to level off effects from price signals. The amount of the transfer depends on the household's economic situation and is intended not only to compensate for additional costs but also to enable social participation.

Apart from the transformation assistance, the short study also provides an assessment by the authors of what, in their view, should be done in the short term to counter the existing problems.

Sebastian Schuster, Johannes Thema, Markus Kühlert, Maike Venjakob, Florin Vondung, Oliver Wagner, Christa Liedtke, Hannah Brauneis, Henri Heiser, Anouk Egole, Timo Hülsdünker, Angelika Ivanov:

Kurzstudie Transformationsgeld

Wuppertal, 2022

(Wuppertal Report no. 23)