While some authors claim that only interest payments were due for the period 1953-1958, which gave Germany air to grow (Guinnane 2015, 19-20), others found that repayments began under the LDA in 1953 and not in 1958 (Tooze 2011). The correct answer is that while some agreements (particularly with the United States) had a grace period and began to be effective in 1958, others, such as post-war aid with the United Kingdom, France or the STEG agreement, did not. As the Deutsche Bundesbank reports, «the contractual repayment of london`s commitments for post-war economic aid began as early as 1953 vis-à-vis the United Kingdom and France. On the contrary, contractual reimbursement in the United States did not begin until 1958» (Deutsche Bundesbank 1961, 51). The Maastricht Treaty contains legal language that seems to exclude internal eu bailout operations. First, the «no bailout» clause (Article 125 of the TFUE) ensures that responsibility for the repayment of public debt remains national and prevents risk premiums caused by poor fiscal policies from spreading to partner countries. The clause therefore promotes prudent fiscal policy at the national level. The agreement demanded the unanimous agreement of the 27 member states and represents a victory for German Chancellor Angela Merkel and French President Emmanuel Macron, who drafted a proposal in May. The emergency fund will provide 390 billion euros ($446 billion) in grants and 360 billion euros ($412 billion) in reduced-rate loans. Germany has been put under pressure because it has no public deficit and is financed by more borrowing. At the end of 2014, despite weak economic growth, the government (federal and provincial) spent less than revenue for the third consecutive year.

[359] For the first time since 1969, the 2015 budget is in surplus. By 2019, current forecasts are for less debt than projected in the Stability and Growth Pact. According to Enderlein, this could mean a «Hamilton moment» for Europe. Alexander Hamilton`s acquisition of the public debt by the State played a crucial role in the formation of a collective identity for the United States in its early days. We use central expenditure because it reports German data for the years 1948 and 1949 and because public expenditure (including the federal states and municipalities) was not available for all the federal states. The main limitation of this analysis is that we are obliged to rely on a transnational data body on social expenditure in all European countries, which may not be totally coherent. Like what. B there may be significant difficulties in determining spending on social security programs and social insurance in different countries (e.g.B. «For some countries/periods, the integration of social security has proved too difficult» Flora (1983, 345).

Therefore, we use economic development data (economic services and spending on transportation and communications) and do not add other expenditures in social categories, such as public health spending. B due to cross-cutting problems in the treatment group. Similarly, we avoid including social spending on education or housing in the control group. In this case, the Expenditure Category Control Group includes data on defence, police, security and debt. Despite significant data constraints, the results indicate that economic development spending in Germany grew much faster than debt, defence and police reimbursement spending after 1953 compared to other categories of expenditure and compared to other European nations. The LDA was a necessary condition for Germany`s reintegration into international financial markets and helped it achieve the conversion of the mark. Whereas in the early 1950s, the problem of Germany`s reintegration into world markets was not so much the raising of funds for debt repayment in DM as in its ability to transfer these funds from the DM to hard currencies.

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