Tag Archives: greens

Merkel’s CDU-CSU, Gabriel’s SPD stumbling toward a not-so-grand coalition in Germany

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We’re less than two weeks from December.  That means that the Bundestag, the lower house of Germany’s parliament, has been sitting for about a month, and we’re weeks away from the self-imposed deadline that chancellor Angela Merkel placed on securing a new coalition government.Germany Flag Icon

In case you forgot, Merkel won a handsome victory in the September 22 federal election, when her center-right Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) — together with the Christlich-Soziale Union in Bayern (CSU, the Christian Social Union in Bavaria) — won 311 seats in the Bundestag, just five seats short of an absolute majority.  It was the biggest victory for Merkel’s Christian Democrats in nearly two decades, harkening back to the wide margins that former CDU chancellor Helmut Kohl won in 1990 and in 1994 in the afterglow of the relatively successful reunification of West and East Germany.

But while the CDU-CSU savored a sweet victory, their coalition partners between 2009 and 2013, the Freie Demokratische Partei (FDP, Free Democratic Party) failed to win any seats in the Bundestag for the first time since 1945, leaving Merkel with two options — a minority government or a coalition government with more leftist partners.

Though Merkel flirted throughout early October with Die Grünen (the Greens), a tantalizingly novel coalition that would have remade the German political spectrum, the Greens pulled out of talks on October 16.  So for over a month, coalition negotiations have been exclusively among the CDU, the CSU and the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party).  Earlier in November, the coalition talks were going so well that CSU leader and Bavarian minister-president Hoorst Seehofer worried that the harmony would subsume the real policy differences between the German right and the German left.

As Merkel quipped earlier this year, Christmas comes sooner than you think, and Merkel, Seehofer and the SPD’s leader, Sigmar Gabriel (pictured above), are under increasing pressure to agree on a coalition agenda — and given that the CDU-CSU’s 311 seats and the SPD’s 192 seats constitute 79.8% of the entire Bundestag, expectations are high that such a wide-ranging coalition will tackle long-term reform both in Germany and in the European Union.  Moreover, any coalition deal agreed among the three parties must also win subsequent confirmation from a vote of 470,000 SPD members in December.

So what’s holding up the deal?  Continue reading Merkel’s CDU-CSU, Gabriel’s SPD stumbling toward a not-so-grand coalition in Germany

Bettel now tipped to become Luxembourg’s next prime minister, ending Juncker era

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The three parties that finished in second, third and fourth place, respectively, in Luxembourg’s October 20 election will begin coalition talks, which could bring to an end the 18-year premiership of Jean-Claude Juncker, thereby elevating the current mayor of Luxembourg City, Xavier Bettel as Luxembourg’s next prime minister — and the country’s first openly gay prime minister. luxembourg

Bettel’s party, the liberal Demokratesch Partei (DP, Democratic Party), made gains in the weekend’s election at the expense of Juncker’s center-right Chrëschtlech Sozial Vollekspartei (CSV, Christian Social People’s Party) and Juncker’s previous coalition partner, the center-left Lëtzebuerger Sozialistesch Arbechterpartei (LSAP, Luxembourg Socialist Workers’ Party).

The CSV still won more votes than any other party (as it has in every postwar Luxembourgish election except 1964).  But by banding together, the LSAP, the Democrats and the Gréng (the Greens) would make history by giving Luxembourg its first so-called ‘Gambia’ coalition, named after the three colors of the Gambian flag — green, red (LSAP) and blue (Democrats).  Together, the three parties hold 32 seats (each of the LSAP and the Democrats won 13 seats, while the Greens have six) in the 60-member D’Chamber (Chamber of Deputies), Luxembourg’s unicameral parliament.

But Luxembourg’s snap elections came about only because the LSAP refused to support Juncker in a key vote earlier this summer related to a scandal involving the country’s intelligence service, the Service de renseignement de l’Etat luxembourgeois (SREL).  Though Juncker wasn’t directly responsible for the SREL’s misdeeds, which included illegal surveillance of domestic groups within Luxembourg, he was determined to be politically liable for the oversight of the SREL, which even allegedly recorded a telephone conversation between Juncker and Luxembourg’s grand prince Henri.  Rather than face the humiliation of losing a vote of no confidence, Juncker instead resigned in July and called for snap elections.

Bettel, who leads the Democrats, already has a strong working relationship with the Greens and their leader, François Bausch, due to their cooperation governing Luxembourg City, the small duchy’s capital.  In preliminary discussions, LSAP leader Etienne Schneider (pictured above, center, with Bettel right and Bausch right) agreed that Bettel would lead any ‘Gambia’ coalition government.

The next step would be for grand duke Henri to formally invite Bettel to become the formateur of a new government at a meeting on Friday afternoon.  Thereupon, it would be up to Bettel to bring together the three parties in crafting an agenda to govern Luxembourg.

Though the three parties lie on different points of the ideological spectrum, their government would represent a massive change from decades of center-right CSV rule under Juncker and his predecessors Jacques Santer and Pierre Werner.  Bringing a new party — and a new generation of leadership — into power in Luxembourg could in itself mark a welcome rupture, breathing fresh ideas into Luxembourg’s government and turning the page from the SREL scandal, the roots of which go back to the 1980s.

Moreover, all three parties are more socially liberal than the CSV, which could result in looser abortion laws and could also clear the way for the recognition of same-sex marriage.  Though Juncker personally supports marriage equality and had been pushing for a vote on a marriage equality bill before calling snap elections, it remains contentious within the CSV.  A Bettel-led government would almost certainly pick up the legislative fight where Juncker left off.

The three parties might also find common ground on wage indexing and measures to curb unemployment.  While Luxembourg has one of the wealthiest and strongest economies within the eurozone, the country’s unemployment ticked up from around 5% a year ago to 5.8%, as of August.

It would also make Bettel, at age 40, one of a growing number of Europe’s young vanguard of leaders, alongside Italian prime minister Enrico Letta (age 47), British prime minister David Cameron (age 47) and Finnish prime minister Jyrki Katainen (age 42).  Bettel would also become the third openly gay head of government in Europe (after Belgian prime minister Elio Di Rupo and former Icelandic prime minister Jóhanna Sigurðardóttir).

Continue reading Bettel now tipped to become Luxembourg’s next prime minister, ending Juncker era

Democrats gain despite Juncker’s likely return as prime minister in Luxembourg

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As expected, the party of Europe’s longest-serving prime minister Jean-Claude Juncker won Luxembourg’s parliamentary elections over the weekend.luxembourg

Despite having lost nearly 5% from the result of the previous 2009 elections, Juncker’s center-right Chrëschtlech Sozial Vollekspartei (CSV, Christian Social People’s Party) still finished with more support than any other party, entitling it to 23 seats in Luxembourg’s 60-member unicameral parliament, the D’Chamber (Chamber of Deputies), a loss of three seats:

“I am satisfied with the results as far as my party remains the number one party in Luxembourg, with a huge distance between my party and the two other main political parties,” Mr Juncker said.

“We should be entitled to form the next government.”  But he said it was too early to begin coalition talks.

Its coalition partner between 2004 and 2013, the center-left Lëtzebuerger Sozialistesch Arbechterpartei (LSAP, Luxembourg Socialist Workers’ Party), finished in second place, winning the same number as seats as it had previously (13), despite the fact that its support declined, especially in its stronghold in the south of the country.

But the third-place liberal Demokratesch Partei (DP, Democratic Party) also won 13 seats, a four-seat gain that makes it the clear winner, in terms of momentum, in Sunday’s election.

While the Democrats may have hoped for even more seats, the party made the starkest gains in Sunday’s election and that its leader, Luxembourg City mayor Xavier Bettel, is a rising star in Luxembourgish politics.  Though Bettel may not have won enough seats to make a play to become prime minister, he’s young enough (40) that he now stands a strong chance of making further gains in the next set of Luxembourgish elections.

Moreover, while Juncker may well return into a governing coalition with the LSAP, it was the LSAP’s refusal to back Juncker in a key vote over the summer over a scandal involving illegal domestic surveillance within Luxembourg’s secret service, which led to Juncker’s resignation and Luxembourg’s first snap elections in decades.  Though Juncker wasn’t directly involved in the scandal, a parliamentary inquiry found that he shared political responsibility for failing to adequately oversee the secret service and intelligence agency.  Despite the scandal, however, it wasn’t expected that the CSV would forfeit its dominance within Luxembourgish politics, though polls predicted slight losses for Juncker and his coalition partner, the LSAP.

Juncker has served as prime minister since 1995 and, between 1989 and 2009, also served as Luxembourg’s finance minister.

Given that the Democrats were the clear winners in Sunday’s vote, there’s a chance that Juncker could turn to the Democrats to join his government (as Juncker did between 1999 and 2004), putting Bettel even more clearly on the path as Juncker’s heir apparent.

LSAP leader Etienne Schneider hinted as much after Sunday’s votes were counted:

Schneider commented that another LSAP and CSV coalition would not necessarily be the most democratic, since it would exclude the party with the biggest gain in voter trust.

There’s also a small possibility of a so-called ‘Gambia’ coalition (named after the three colors of Gambia’s flag) among the LSAP (red), the Democrats (blue) and the Déi Gréng (the Greens), who won six seats.  Together, the three parties won 32 seats, an absolute majority, though it seems unlikely that Luxembourg’s next government would exclude Juncker’s top-polling party.

Though Juncker downplayed his interest throughout the campaign, he has been discussed as a potential candidate for the presidency of either the European Council or the European Commission, both of which will be vacant next year.  Christine Lagarde’s current term as managing director of the International Monetary Fund will end in 2016 — as the first chair of the Eurogroup, the group of eurozone finance ministers, Juncker has already played a key role in setting European Union monetary and financial policy, following in the long tradition of Luxembourgish leadership at the European level.

In addition to the other four major parties, the centrist Alternativ Demokratesch Reformpartei (Alternative Democratic Reform Party) won three seats and the far-left Déi Lénk won two seats:

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Who is Xavier Bettel? (Maybe Luxembourg’s next prime minister.)

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Xavier Bettel may not win this weekend’s parliamentary elections in Luxembourg, but he’s likely to lead his party to significant gains, putting him in line as the heir apparent to the small European country’s long-time prime minister Jean-Claude Juncker.luxembourgEuropean_Union

Sure, that may not be the most world-shattering event in world politics — with about 538,000 people, Luxembourg has about one-fourteenth the population of Hong Kong.  But given the chief role that Juncker has played in steering eurozone policy, it’s worth keeping an eye on the top up-and-coming Luxembourgish leaders — every Luxembourgish prime minister since 1953 has played a crucial role in the European integration process.

So as a new generation of Luxembourgish politicians come to the fore, it’s not difficult to envision that they could play a starring role in European-wide policymaking later this decade and in the 2020s.

Enter Bettel, exit Juncker?

No Luxembourgish politician has emerged quite as forcefully as Bettel (pictured above), who during the campaign has emerged as Juncker’s chief rival.

A 40-year-old openly gay attorney, Bettel joined parliament in 1999, when the Democrats governed as the junior partner of a coalition with Juncker’s CSV.  Bettel was also elected to Luxembourg City’s communial council in 1999 and subsequently as mayor in October 2011, becoming the youngest mayor of any European capital, rising quickly to prominence, with a favorability rating higher than Juncker’s.

Bettel and his liberal Demokratesch Partei (DP, Democratic Party) are expected to make gains in Sunday’s election, though perhaps not enough gains to take over government.

Juncker was somewhat tarnished earlier this year with the revelation of abuses committed by the Service de renseignement de l’Etat luxembourgeois (SREL), the secret service and intelligence agency of Luxembourg.  The abuses include illegal wiretapping, surveillance of domestic political groups and other crimes that stretch back to the 1980s.  Although Juncker isn’t directly implicated in any of the abuses, a parliamentary inquiry found that he shared ‘political responsibility’ for the SREL’s bad behavior by neglecting to oversee the SREL with adequate oversight.  Perhaps more damaging than the official scolding is the more unshakeable sense that Juncker is perceived to have spent too much time on eurozone policy and not enough time governing his own country.

Facing a vote of no confidence in Luxembourg’s unicameral parliament, D’Chamber (Chamber of Deputies), Juncker resigned and called early elections for October 20.

The Democrats’ campaign hasn’t been incredibly subtle — it’s running on the platform of a ‘new beginning’ for Luxembourg, with ‘new ideas and new leaders.’  Bettel himself has criticized the slow pace of the Juncker government’s approach to reform.

While there’s not an incredible amount of polling data for Luxembourg, it shows that Junker can expect losses for his dominant center-right Chrëschtlech Sozial Vollekspartei (CSV, Christian Social People’s Party), which has won the greatest share of votes in all but one (1964) postwar Luxembourgish general election.

Juncker’s CSV has governed in coalition for the past decade with the center-left Lëtzebuerger Sozialistesch Arbechterpartei (LSAP, Luxembourg Socialist Workers’ Party), but the LSAP’s refusal to support Juncker over the secret service scandal precipitated this weekend’s early elections.   Continue reading Who is Xavier Bettel? (Maybe Luxembourg’s next prime minister.)

Merkel’s coalition talks with Green Party leaders this week seem serious

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German chancellor Angela Merkel, fresh off a victory at the end of last month in her country’s federal elections, turned this week to a once very-unlikely coalition partner — Germany’s Die Grünen (the Green Party). Germany Flag Icon

When news broke last week that Merkel would hold talks with the Greens, it was easy to blow it off as a formality.  After all, everyone assumed after the September 22 elections that Merkel’s center-right Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) would form another ‘grand coalition’ with the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party).

But throughout the campaign, I listed all of the reasons why a ‘black-green’ coalition made a lot of sense — and those reasons still make as much sense now as they did before the election.  Merkel’s decision to phase out nuclear power in 2011 removed the key policy difference that most divided her from the Greens.  The leadership and the rank-and-file membership of the Greens is becoming older, wealthier and, in general, more like the CDU electorate.  Moreover, its younger members are less radical and more moderate, and don’t have the same antipathy to business as the (pardon the generalization) founding ‘1960s, hippie, flower child’ generation.

With the announcement that the Greens and Merkel’s CDU will explore a second round of talks over a potential coalition, however, everyone seems to be taking seriously the possibility of a ‘black-green’ coalition, which would be unprecedented in national German politics (though the Greens and the CDU joined forces in government recently, to mixed results, in Saarland and Hamburg).

There were always really compelling reasons why another CDU/SPD ‘grand coalition’ makes little sense.

After all, Merkel’s near-landslide victory left her CDU and the more Catholic, conservative, Bavaria-based Christlich-Soziale Union in Bayern (CSU, the Christian Social Union) just five seats short of an absolute majority.  She doesn’t need the SPD’s 192 seats, she needs five votes.  Moreover, the SPD’s collaboration with Merkel won it few votes, neither in Germany’s 2009 federal elections when the grand coalition’s foreign minister Frank-Walter Steinmeier led the party to its worst election result in postwar history nor in the most recent elections when the grand coalition’s finance minister Peer Steinbrück led the SPD to its second-worst result.  As such, the SPD is looking to draw a contrast with Merkel over the next hour years, not prop up Merkel’s government as her junior partner.

That means that the SPD will be looking for the first opportunity for snap elections — and it’s not exactly a foregone conclusion that Merkel will lead the CDU/CSU into a fourth consecutive campaign.  At first glance, a coalition with the Greens may seem more bold, but it might well be the more cautious option for Merkel.  They’ll be less likely to cause problems for Merkel and, with a smaller parliamentary caucus,

Here’s the breakdown of seats in the lower house of Germany’s parliament, the Bundestag, following the September 22 vote, which will have 630 seats — a ‘grand coalition’ would amount to about four-fifths of the entire Bundestag.

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Given that the CDU’s coalition partner between 2009 and 2013, the liberal Freie Demokratische Partei (FDP, Free Democratic Party), failed to surpass the 5% electoral threshold and lost all of its seats in the Bundestag in September, there’s only one other party to which Merkel can turn — the Greens.

Though Merkel’s coalition partners might both regret their cooperation (i.e., the SPD and the FDP both notched postwar nadirs in 2009 and 2013, respectively), there’s a strong case that a ‘black-green’ coalition could give the Greens a new identity at the very heart of Germany politics.  As a junior partner in Merkel’s third consecutive government, its supporters wouldn’t expect much, so to the extent that the Greens moderate Merkel’s agenda over the next four years (through policies that boost renewable energy or reduce CO2 emissions), their core voters should be fairly satisfied.  But the Greens stand to pick up many more centrist voters that might otherwise vote for the SPD or even for the CDU or the FDP.

The Greens ran an undeniably leftist campaign, pledging tax hikes and a 15% wealth tax to boot, along with the oft-ridiculed national ‘Veggie Day,’ and one of its four leaders, Jürgen Trittin, a former environmental minister from 1998 to 2005, faced ridicule over his approval of a pamphlet from 1981 that appeared to call for the legalization of sex between adults and minors.  Despite polls that in 2011 showed the Greens winning up to 25% or even 30% of the vote, they finished with just 8.4% of the vote — a swing of 2.3% less than their 2009 total.

Former Green Party leader and foreign minister Joschka Fischer, among others, took the Greens to task for their campaign within 48 hours of the election:

“It looks almost as though the current leadership of the Greens has gotten older but still hasn’t grown up,” Fischer told SPIEGEL following Sunday’s vote. “They followed a strategy that not only failed to win over new voters, but drove away many old ones.” Noting the party’s focus on tax hikes and social spending during the campaign, Fischer said that emphasizing a “leftist course” was a “fatal mistake.”

Former party head Reinhard Bütikofer has likewise not been complimentary of the current Green leadership. “The failure … to engage in a serious debate with Chancellor Merkel regarding … her policies for Europe granted her political hegemony” on the issue, he told SPIEGEL. He also criticized Trittin for being a mouthpiece of the party’s left wing.

Since the election, the Green leadership resigned en masse, and they elected two new leaders, including the centrist rising star Katrin Göring-Eckardt, who had served as one of two chancellor-candidates for the Greens during the election.  The Greens, who have long been divided between a more centrist realo (‘realist’) faction and a more radical fundi (‘fundamentalist’) faction, have long elected leaders in pairs (the new leftist Green leader is Anton Hofreiter, who, unlike Trittin, comes from the new generation of Greens parliamentarians).

But the clear exemplar of Greens success is Winfried Kretschmann (pictured above), the first and only minister-president of any of Germany’s 16 states — and in Baden-Württemberg, a wealthy (and relatively conservative) state in Germany’s southwest that’s a hub for commerce and industry.  Though Kretschmann came to power in 2011 on a wave of opposition to the Stuttgart 21′ rail development project, Kretschmann is now helping to implement the project after it won nearly 60% support in a subsequent referendum specifically on the project’s future.  Kretschmann, who’s firmly within the ‘realo,’ right wing of the Green Party, has won plaudits from business leaders as well, and he’s apparently playing a role in the CDU-Green negotiations.

Severe obstacles remain to a ‘black-green’ coalition. Continue reading Merkel’s coalition talks with Green Party leaders this week seem serious

Austrian election results: grand coalition reelected, Freedom Party solidifies gains on far right

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With nearly all of the votes counted in Austria’s election today, it appears that the current grand coalition led by center-left chancellor Werner Faymann will continue — for up to another five years.austria flag

Just one week after Germans massively supported chancellor Angela Merkel and her center-right Christian Democrats for steering Germany largely unscathed through the worst of the economic crisis, Austrians appeared ready to do the same for Faymann, though his Sozialdemokratische Partei Österreichs (SPÖ, Social Democratic Party of Austria) did not score the kind of overwhelming victory that Merkel’s Christian Democrats won last week — the SPÖ lost over 2% of the vote since the September 2008 election.

But their coalition partners, the center-right Österreichische Volkspartei (ÖVP, Austrian People’s Party), also lost 2.2% of the vote from 2008.  Together, however, the two parties won enough seats (99) to continue to hold an absolute majority in Austria’s 183-member Nationalrat (National Council), the chief house of the Austrian parliament.

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But the far-right, anti-EU, anti-immigrant Freiheitliche Partei Österreichs (FPÖ, the Freedom Party of Austria) won just four seats less than the People’s Party and it won over 21% of the vote.  That’s largely because voters on the far right abandoned the Bündnis Zukunft Österreich (BZÖ, Alliance for the Future of Austria), the splinter group that former Freedom Party leader Jörg Haider founded in 2005.

Believe it or not, today’s election was the first one without Haider in nearly two decades following his sensational death in October 2008, and the BZÖ lost over 7% from the 2008 election — and missed the 4% electoral hurdle required to hold seats in Austria’s National Council.  Given Haider’s absence from the political scene, many BZÖ supporters turned back to the Freedom Party.  In any event, it’s certainly a huge victory for FPÖ leader Heinz-Christian Strache (pictured above), whose party gained more support than any of the parties that contested the 2008 election.  Strache is one of the big winners in today’s election, and that will amplify his voice as the chief opposition leader in Austria.

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Continue reading Austrian election results: grand coalition reelected, Freedom Party solidifies gains on far right

Austria election tomorrow likely to result in grand coalition, reelection for Faymann

Austria goes to the polls tomorrow to select 183 members of the Nationalrat (National Council), the lower house of Austria’s parliament — but by far the most important.  What better musical selection than Johann Strauss II’s Kaiserwaltzer?austria flag

Austria’s elections are determined on the basis of proportional representation, so no matter who wins, Austria will have a coalition government.

The most likely result, according to polls, is the continuation of a ‘red-black’ or ‘grand’ coalition between the two dominant parties in Austrian politics, the center-left Sozialdemokratische Partei Österreichs (SPÖ, Social Democratic Party of Austria) and the center-right Österreichische Volkspartei (ÖVP, Austrian People’s Party).

Polls also showed the anti-EU, anti-immigration, right-wing Freiheitliche Partei Österreichs (FPÖ, the Freedom Party of Austria) gaining ground, but still in third place.

Though Austria’s chancellor Werner Faymann leads a consensus-driven government, he’s in some ways the opposite of German chancellor Angela Merkel, whose own center-right party won a huge victory just last weekend.  With an approach that’s leaned away from the austerity budgets of much of the rest of Europe, Faymann has boosted Austrian spending over the past five years on stimulative measures, including a massive commitment to job training.  That’s left Austria with the lowest unemployment rate among the 28 member states of the European Union.

Even if the SPÖ and the ÖVP win the largest and second-largest shares of the vote, they may still not win enough seats to form a majority because up to seven parties could win seats today.

Austria’s Die Grünen – Die Grüne Alternative (Green Party) will likely be the fourth-largest party in the National Council, but three smaller parties could also enter the parliament — the new eurosceptic Team Stronach, founded last year by Austrian-Canadian businessman Frank Stronach; the Bündnis Zukunft Österreich (BZÖ, Alliance for the Future of Austria), a liberal splinter group of the FPÖ; and Das Neue Österreich (NEOS, The New Austria), a new liberal party that formed last year as well.

Meet Austrian chancellor Werner Faymann, Europe’s Superman of Keynesian economics

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Austrians go to the polls on September 29, and just as with Germany’s election last weekend, voters seem inclined to reward a government that has largely kept Austria’s economy strong through a time of recession and unemployment throughout much of the rest of Europe.austria flag

But German chancellor Angela Merkel has steered a largely moderate, pragmatic course over the past eight years in Germany, and it’s arguable that Germany’s economic success owes much to its position as Europe’s largest economy and its role as a leading global high-tech manufacturer than to any Merkel-era economic policies — if anything, Merkel’s center-left predecessor Gerhard Schröder pushed through the policies (including the Hartz IV labor and welfare reforms) that steeled Germany for the economic storm of the late 2000s and early 2010s.

In Austria, however, it’s been an even more sanguine story.

The country has a 4.8% unemployment rate, according to Eurostat, the lowest among all 27 countries in the European Union.  Its GDP dropped just 3.8% in 2008 (a narrower drop than in Germany), and it returned to growth thereafter — even in 2012, it managed to record GDP growth of 0.8% while most of the eurozone was mired in recession.

So what has Austrian chancellor Werner Faymann and his government done over the past five years in order to steer Austria out of the straits of the eurozone morass?  As it turns out, a lot.

While several European countries have served as battlegrounds for harsh transatlantic battles among economists over economic policy (the usual suspects, but also places like Iceland, Latvia and Estonia), you would think that neo-Keynesian economists would be shouting from the rooftops about Austria’s economic stewardship.  Don’t confuse Austria’s economic policy today with Austrian economics, as such, which is something very much the opposite.

Since his election in September 2008, Faymann has led a grand coalition between his own center-left Sozialdemokratische Partei Österreichs (SPÖ, Social Democratic Party of Austria) and the center-right Österreichische Volkspartei (ÖVP, Austrian People’s Party), and it’s about as anti-austerity a government as Europe has seen.

Given the strength of the Austrian labor movement, Austria immediately pursued the kind of work-sharing policies that Germany also adopted in the aftermath of the crisis when aggregate demand tumbled — the idea that shorter working hours for everyone would be a way to disperse the slack in the economy, thereby avoiding the wave of layoffs that we saw in the United States.

But Faymann also pushed through job training legislation that massively empowered Austria’s Arbeitsmarktservice (AMS, Austrian Employment Service), including strong benefits for the unemployed and the guarantee of a paid training internship for young Austrians in the marketplace.  Austria’s labor market has performed exactly the opposite of that in the United States — unemployment rose in Austria because more workers were seeking jobs, while the US unemployment rate has dropped partly because so many American workers have given up on finding employment.

Faymann also allowed Austria’s public debt to rise from around 60% in 2008 to 75% today in order to finance the jobs legislation and other stimulative measures to shore up Austria’s economy.  His government also took the lead in convincing the European Union and the International Monetary Fund to provide up to €125 billion to stabilize banks in the Central European and South Eastern European (CESEE) region, a strategy that worked to reassure global investors.  A financial panic in CESEE region countries, such as Hungary, would have led to massive losses for Austrian banks as well.  The idea is that a credible commitment from government at the outset of a financial crisis will stave off a larger financial panic.  Contrast the far less proactive European response to the wider sovereign debt crisis — it was only in July 2012, the eurozone crisis’s third year, that European Central Bank president Mario Draghi said he would do ‘whatever it takes’ to save the euro.

Faymann is campaigning on a platform of instituting a wealth tax on millionaires and institutionalizing a levy on the assets of large banks, both of which Faymann hopes will keep income inequality relatively low in a society that already has one of the world’s lowest Gini coefficients.

With a record like that, why isn’t Paul Krugman cheerleading for Faymann from the op-ed pages of The New York Times?  Here’s a European leader who has pursued as close to a Krugmanite economic policy as anyone.

For one, you could easily argue that Austria’s just been lucky.   Continue reading Meet Austrian chancellor Werner Faymann, Europe’s Superman of Keynesian economics

That ‘transcending ideology’ thing from Obama 2008? Angela Merkel did it. Obama hasn’t.

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Last Sunday’s election wasn’t just a victory for the German center-right — it was a very personalized victory for Germany’s chancellor, Angela Merkel, who will become just the third postwar chancellor to serve three terms.*  USflagGermany Flag Icon

Germans largely saw Merkel as the only viable chancellor candidate (sorry, Peer Steinbrück!), and they flocked to support Merkel for steering Germany largely unscathed through a global financial crisis and a subsequent eurozone crisis in an export-oriented economy that’s still growing and producing jobs for Germans.  They admire the fact that she’s steered the eurozone through the worst of its sovereign debt crisis and avoided the single currency’s implosion, all while tying bailouts for Greece and other Mediterranean countries to austerity and reform measures that would make more profligate countries (like Greece) more ‘German’ in their approach to state finances.

But beyond the infantilizing ‘Mutti’ meme or the idea that Merkel represents a ‘safe pair of hands,’ she has won over many Germans because she’s been such a pragmatic and non-ideological leader.  Though Merkel leads the ostensibly center-right Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party), it’s really hard to know what the CDU stands for these days other than the continuity of another Merkel government — and that’s likely to pose a difficult challenge for Merkel’s successor in 2017 or 2021 or whenever.

Merkel’s made some ideological compromises to her Bavarian counterparts, the Christlich-Soziale Union in Bayern (CSU, the Christian Social Union)  — for instance, she has avoided the question of marriage equality, preferring that the German constitutional court largely deliver equal rights and benefits to same-sex partners at a time when both conservative governments (in the United Kingdom) and leftist governments (in France) deliver legislative solutions.

By and large, though, Merkel eschews ideological litmus tests.  Merkel campaigned on an economic agenda that varies only slightly with that of her rival center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party).  While the SPD favored a €8.50 minimum wage, Merkel pushed a sector-by-sector minimum wage approach.  Both parties supported increasing elements of the German social welfare model, such as child allowances and a rise in pensions.  While the SPD and other leftists pushed for tax increases, Merkel has been content to draw a line at merely no tax increases, to the disappointment of Merkel’s liberal coalition partners, the Freie Demokratische Partei (FDP, Free Democratic Party), who were completely wiped out of Germany’s parliament in Sunday’s elections.  After the nuclear meltdown of the Fukushima reactor in Japan in 2011, Merkel announced that Germany would phase out nuclear energy, thereby accomplishing in one fell swoop one of the German left’s top priorities since the 1970s — and perhaps the top policy goal of the Die Grünen (the Greens).

German political scientists refer to it as ‘asymmetric demobilisation‘ — Merkel has so blurred the lines between her position and the SPD position that on the top issues — economic policy, Europe, foreign affairs — the SPD can’t draw an effective contrast to her.

Merkel, in essence, has governed as a perfectly non-ideological leader.

Sound familiar?

It should to most Americans, who elected Barack Obama in 2008 in large part due to his pledge to transcend the increasingly polarized politics of the United States.  Here’s what Obama said upon accepting the Democratic Party’s nomination for president that summer:

America, our work will not be easy. The challenges we face require tough choices, and Democrats as well as Republicans will need to cast off the worn-out ideas and politics of the past…. For eighteen long months, you have stood up, one by one, and said enough to the politics of the past. You understand that in this election, the greatest risk we can take is to try the same old politics with the same old players and expect a different result.

In effect, Merkel has done, in her quiet and unassuming way, what Obama has utterly failed to do — govern in a way that transcends traditional ideological divides.

You could say that Obama’s rhetoric is the standard boilerplate that any change candidate serves up in American politics — the same ‘Washington-is-not-the-answer’ tropes that Republicans and Democrats have rolled out since Ronald Reagan swept to power 33 years ago on an appealing anti-government message.  But Obama’s reputation in 2008 came mostly from his keynote address to the 2004 Democratic national convention on this precise issue:

Yet even as we speak, there are those who are preparing to divide us, the spin masters and negative ad peddlers who embrace the politics of anything goes. Well, I say to them tonight, there’s not a liberal America and a conservative America — there’s the United States of America. There’s not a black America and white America and Latino America and Asian America; there’s the United States of America. The pundits like to slice-and-dice our country into Red States and Blue States; Red States for Republicans, Blue States for Democrats. But I’ve got news for them, too. We worship an awesome God in the Blue States, and we don’t like federal agents poking around our libraries in the Red States. We coach Little League in the Blue States and have gay friends in the Red States. There are patriots who opposed the war in Iraq and patriots who supported it. We are one people, all of us pledging allegiance to the stars and stripes, all of us defending the United States of America.

So there’s a lot of reason to believe that Obama genuinely believed he could transform the political dynamic in American politics.

But his absolute lack to do so is perhaps Obama’s greatest failure as a president.  Say whatever you want about his policies, the Obama era in many ways constitutes a high-water mark for American political polarization.  Republicans now lean even more to the right, in the thrall of a tea party movement that demands no compromise from Republican officeholders.

There are all sorts of rationales that explain why Merkel has succeeded in becoming non-ideological and why Obama hasn’t — but none of them are completely satisfying.  Continue reading That ‘transcending ideology’ thing from Obama 2008? Angela Merkel did it. Obama hasn’t.

German election results — federal Bundestag and Hesse state results (in five charts)

Election officials released provisional results overnight in both the federal Germany election to determine the makeup of the lower house of Germany’s parliament, the Bundestag, and the Hessian state elections.Germany Flag Iconhesse flag

Here’s where things stand in the total national ‘party vote’:

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As predicted by exit polls earlier Sunday, neither the new eurosceptic party, the Alternative für Deutschland (AfD, Alternative for Germany) nor the longtime liberal Freie Demokratische Partei (FDP, Free Democratic Party) won more than 5% of the vote — meaning that they have not won any seats in the Bundestag.

The final total won by chancellor Angela Merkel’s Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) — together with the Bavarian Christlich-Soziale Union in Bayern (CSU, the Christian Social Union) — comes to 41.5%.  That’s exactly the same percentage that the CDU/CSU and chancellor Helmut Kohl won in the 1994 German elections, and it’s just 2.3% less than Kohl’s total in the 1990 elections, which came in the aftermath of the largely successful reunification of West Germany with East Germany.  It’s an absolutely huge win for Merkel — but we already knew that as polls closed Sunday.

Here’s a look at how Sunday’s election result compared to the previous elections in September 2009:

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There are no absolutely clear winners except the CDU/CSU, which improved on its 2009 totals by a staggering 7.8% — including a nearly 1% improvement by the CSU (which is pretty incredible, given that the CSU seeks votes solely in Bavaria, home to just 12.5 million of Germany’s 80 million residents).

The FDP obviously had a disastrous result — the party’s worst result in Germany’s postwar history, which comes after its postwar high of 14.6% just four years ago.  Both leading FDP figure and economics and technology minister Rainer Brüderle, party leader and vice chancellor Philipp Rösler and former party leader (until 2011) and foreign minister Guido Westerwelle are all likely to step aside from their top leadership positions.

The center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party) improved slightly on its 2009 result, which was a postwar low for the party under chancellor candidate Frank-Walter Steinmeier, who served as foreign minister in the 2005-09 CDU/SPD ‘grand coalition’ government.  But the SPD’s performance under its 2013 candidate Peer Steinbrück, who served as Merkel’s grand coalition finance minister, was its second-worst result in postwar German history.

Die Grünen (the Greens) also suffered a retreat from its 2009 totals and especially from polls in 2011 that showed them winning between 20% and 25% of the vote.  The poor result follows an unfocused campaign with at least four different leaders.  The Green platform swung from promoting ‘Veggie Day’ to advocating tax increases, despite the fact that its electorate is becoming more moderate, less radical, older and wealthier.

Die Linke (the Left) appears to have retained its traditional strength as the second-most popular party in the eastern states (second to Merkel’s CDU), but it has also lost support since 2009.  Though its leaders were crowing that it will be the third-largest party in the Bundestag for the first time since reunification, the CDU appears to have made significant inroads into the Left’s eastern heartland.

Though the AfD had a superb performance, it obviously fell 0.3% short of entering the Bundestag and, while it will work hard to retain relevance in next spring’s European elections, it’s difficult to tell if it can retain and grow its strength between now and 2017.

Here’s the breakdown of the seats in the Bundestag — due to so-called ‘overhang seats’ resulting from the way in which additional seats are allocated to bring seat totals in line with the ‘party vote,’ there are 630 seats:

bundestag seats

With 311 seats, Merkel is five seats short of an absolute majority.  Without the option of her previous coalition partner, the FDP, it means that she has three options: Continue reading German election results — federal Bundestag and Hesse state results (in five charts)

Germany (and Hesse) votes today!

What better way to kick off Germany’s election day — and the second full day of Oktoberfest in Munich — with Johannes Brahms’s ‘Academic Festival Overture,’ a loose assortment of what amounts to student drinking songs?Germany Flag Icon

Germany, with 80 million citizens, is the most populous member of the European Union, and it’s also the economic engine of Europe these days, for better or worse.

Angela Merkel, chancellor for the past eight years, is almost certainly likely to continue as chancellor, with her center-right Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) and the CDU’s Bavarian sister party, the Christlich-Soziale Union in Bayern (CSU, the Christian Social Union), poised to win more than 10% to 15% more than the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party).

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German voters will cast two ballots — for a local representative in each of 299 districts, plus the national ‘party vote’ for a political party to determine an additional 299 seats in the lower house of Germany’s parliament, the Bundestag.  The ‘party vote’ generally determines the proportion of seats that a party will hold in the Bundestag.

The drama comes down to whether Merkel will be able to continue her coalition with the liberal Freie Demokratische Partei (FDP, Free Democratic Party) — which is polling at around just 5%, the threshold to win seats in the Bundestag — or be forced back into a ‘grand coalition’ with the SPD.  Or, as I’ve argued at EurActiv, the third possibility is a historical ‘black-green’ coalition with Die Grünen (the Greens).

We’ll have a pretty good idea in about 10 hours of the universe of possibilities.

Between now and then, check out some of Suffragio‘s prior German election campaign coverage:

Photo credit to Alex Cole.

Close state election in Hesse could tilt federal Bundesrat further left

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While all of Germany goes to the polls on September 22 to elect a new national government, voters in the state of Hesse will also be choosing their own state government.hesse flagGermany Flag Icon

Although Hesse isn’t as large as Bavaria, which held its own state-level elections on September 15, exactly one week before the federal vote, the election in Hesse is as much a tossup as the national election is likely to be a certain win for German chancellor Angela Merkel.

Hesse, a state in south-central Germany that borders both Bavaria and North Rhine-Westphalia, is home to Frankfurt, the financial center of Germany and in many ways the financial center of Europe.  With just over 6 million residents, Hesse is only the fifth-most populous state in Germany, but its role in the German economy means that the result on Sunday is important — its GDP per capita, on a regional basis, is Germany’s highest (except for the small city-states of Hamburg and Bremen). hessemap

It’s also important because the result of the Hessian election will determine five votes in the Bundesrat, the upper house of Germany’s parliament — a loss here on Sunday would leave the center-right with firm control of just 10 out of 69 votes in the upper house.  That would strengthen the parliamentary check that the center-left holds through its domination of the state governments that cumulatively determine the representatives to the Bundesrat.

It’s also a state where the two main center-right and center-left forces are balanced nearly equally in polls — the race is expected to be incredibly close.

Merkel’s Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) has controlled Hesse’s government since the 1999 elections, when Roland Koch led the CDU into government alongside the liberal Freie Demokratische Partei (FDP, Free Democratic Party).

But things took a poor turn after a particularly brutal election in January 2008, after Koch and the CDU took a hard-right, anti-immigrant turn.  The CDU and the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party) essentially tied in that election — each won 42 seats in the 118-seat Landtag (state parliament).  With neither the CDU’s preferred coalition partner, the Free Democrats nor the SDP’s preferred partner, Die Grünen (the Greens), winning enough seats to form a stable majority, it left the democratic socialist Die Linke (the Left) holding the balance of power after it won 5.1% of the vote, enough to win (just barely) six seats, entering Hesse’s Landtag for the first time.

SPD leader Andrea Yspilanti ultimately decided to work with the Left — controversial for the party’s links to former communists in East Germany — but a revolt within the Social Democrats caused her attempts to fail and led to early elections in January 2009.  The Hessian electorate blamed the Social Democrats for the political crisis, and the SPD dropped 13% from its result just a year earlier, giving the CDU/FDP coalition a reprieve.

Koch stepped down as minister president in August 2010 to pursue business interests, handing over the reins to trusted acolyte Volker Bouffier (pictured above, left, campaigning with Merkel).  Bouffier previously served as Koch’s decade-long minister of the interior (and sport), embracing more robust surveillance and police techniques throughout the 2000s, which earned him the nickname, ‘Black Sheriff.’ Continue reading Close state election in Hesse could tilt federal Bundesrat further left

Your weekend cocktail-party glossary for the German election

Plakate zur Bundestagswahl

You’ve mastered the Syrian chemical weapons crisis, you’re ready for the showdown over the US government shutdown and the debt ceiling fight, and you’re ready to hit the party circuit this weekend, wit and pith at the ready.Germany Flag Icon

But wait! You’ve forgotten that Germany, the most populous and arguably the most important country in Europe, is going to the polls on Sunday to elect a new government.

You know that Angela Merkel, Germany’s chancellor for the past eight years, is likely to return for a third term chancellor, even though it’s less clear which governing parties will join her in coalition.

You know that her center-right Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party) holds a wide, double-digit lead over the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party).

And you know that, as far as elections go, it’s been a particularly boring one — even by the standards of Germany’s relatively muted consensus-driven politics.

But what else should you know about Sunday’s election?

Not to worry.  Here’s all the lingo you need to sound (and be) in the know about what’s likely to happen this weekend in Germany — and what might happen in its aftermath. Continue reading Your weekend cocktail-party glossary for the German election

FDP shut out of Bavarian parliament, CSU wins absolute majority

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The result of today’s state elections in Bavaria has both good news and bad news in terms of Angela Merkel’s hopes to win a third term as chancellor in exactly one week.bavarian_flag_iconGermany Flag Icon

With results still coming in, the center-right Christlich-Soziale Union in Bayern (CSU, the Christian Social Union) will improve vastly upon its historically poor result in the prior September 2008 election, giving Bavaria’s minister president Horst Seehofer (pictured above) an absolute majority in the 187-member Landtag, Bavaria’s unicameral state parliament.

The current projection gives the CSU 101 seats, with just 43 seats for the center-left Sozialdemokratische Partei Deutschlands (SPD, Social Democratic Party) and 18 seats each for Die Grünen (the Greens) and the center-right group of independents, the Freie Wähler (FW, Free Voters).

Here’s the latest snapshot of the result:

bavaria2013

That’s great news for the CSU, which has controlled Bavaria’s state government consecutively since 1947.  The Bavarian-based CSU is the sister party of Merkel’s Christlich Demokratische Union Deutschlands (CDU, Christian Democratic Party), which competes everywhere else in Germany, and the two parties work together as a union for federal political purposes.  So the fact that the CSU increased its support by over 5% in what was already a center-right heartland is a sign that Merkel will be able to drive up the number of seats that the CDU/CSU will win in next week’s federal elections.

It’s an amazing turnaround for the CSU, which won less than 44% five years ago and was polling just 40% as recently as 2010.  It’s a huge win for Seehofer personally as well, given that his personality dominated the CSU’s presidential-style campaign, the same tactic that Merkel and the CDU have deployed for next week’s federal elections.  It puts Seehofer alongside recent CSU leaders who have dominated Bavaria’s recent past, such as Franz Josef Strauß in the 1970s and 1980s and Edmund Stoiber in the 1990s and 2000s.  Given the relative strength of the Bavarian economy vis-à-vis Germany and, especially vis-à-vis Europe, the CSU’s win is not surprising — Bavaria’s reputation long ago solidified its image as the land of laptops und Lederhose.

But it’s horrible news for the liberal Freie Demokratische Partei (FDP, Free Democratic Party), which won just 3.2% today, falling far short of the 5% threshold required to win seats in the Landtag.

Seehofer and the CSU depended on a governing coalition with the Free Democrats for the fast five years, and Merkel and the CDU/CSU govern in coalition with the Free Democrats at the federal level as well.  Since riding a wave of popularity in the late 2000s (the Free Democrats won nearly 15% of the vote in the 2009 federal elections), its public support collapsed shortly thereafter.  After a series of poor performances in state elections, foreign minister Guido Westerwelle stepped down as the party’s leader.  But its new leader Philipp Rösler, Germany’s first Vietnamese-born party leader, has hardly done much better.  Under his leadership, though, the Free Democrats actually gained support in two key state-level votes — in the May 2012 North Rhine-Westphalia election and the January 2013 Lower Saxony state elections.

The FDP’s loss in Bavaria comes at a devastating time, however.  Seehofer and the CSU in Bavaria will no longer need a coalition partner, but that’s not likely to be the case for Merkel next week, so Merkel needs the Free Democrats to perform much better nationwide in seven days.  While Merkel’s CDU/CSU widely leads in the polls in advance of next week’s federal election, Merkel is unlikely to win the kind of outright majority that Seehofer won today (because the rest of Germany tilts further to the center and to the left than the Catholic, socially conservative Bavaria).  Just as for Bavaria’s state elections, there’s a 5% threshold for winning seats on the basis of proportional representation in the Bundestag, the lower house of Germany’s national parliament, and polls show the Free Democrats treading at about 5% support nationally.

So if the Free Democrats win less than 5% next week, Merkel will be forced to look to other alternatives: an unstable minority government, return to a ‘grand coalition’ with the rival Social Democrats or a more creative solution, such as a ‘black-green’ coalition with the Greens.  Even if the Free Democrats win more than 5%, their ranks are likely to be so decimated that Merkel may be forced into an alternative anyway.  Continue reading FDP shut out of Bavarian parliament, CSU wins absolute majority

Solberg set to lead broad center-right coalition in Norway after today’s election

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Erna Solberg, the longtime leader of Norway’s Conservative Party, will become Norway’s next prime minister after results from today’s Norwegian parliamentary election showed all four of Norway’s center-right parties winning enough seats to form an absolute majority in Norway’s Storting (parliament).norway

Prime minister Jen Stoltenberg has conceded defeat, and will resign shortly after presenting Norway’s next budget in mid-October.

The result’s a lot more complicated than that — for starters, Stoltenberg’s party, the center-left Arbeiderpartiet (Labour Party) actually won more votes than Solberg’s party, the center-right Høyre (literally the ‘Right’) — so much so that Labour will have around 55 seats to just 48 for the Conservatives.  It’s not an unexpected result because while polls earlier this summer showed the Conservatives leading Labour, support for Labour has increased as Norwegians focused on the campaign.  Moreover, Labour has emerged in every election since 1924 with more support and seats than Norway’s various opposition parties, and its long pedigree as the natural party of government means that it has a deeper wellspring of support among the Norwegian electorate.

Here’s the breakdown of voter support with nearly all the votes counted:

norway results

Here’s the projected allocation of seat in Norway’s new parliament:

storting

But that wasn’t enough to pull off a victory for two reasons.  First, Labour’s support — around 30.9% — is smaller than the 35.4% it won in the September 2009 election, natural enough for a party that’s been in power for eight years and is seeking a third consecutive term.  Secondly, the two small parties that comprise the ‘red-green’ coalition that Stoltenberg heads, Sosialistisk Venstreparti (Socialist Left Party) and the Senterpartiet (Centre Party), did incredibly poorly, so the ‘red-green’ coalition is projected to win just a cumulative 72 seats in the 169-member Storting.

Meanwhile, Solberg’s Conservatives cannot govern by themselves, but must form an alliance among the four major center-right parties that will join parliament.  That includes the Kristelig Folkeparti (Christian Democratic Party), a moderately conservative party that led Norway’s last center-right government under prime minister Kjell Magne Bondevik between 1997 and 2000 and again from 2001 to 2005, and it includes Venstre (literally, ‘the Left,’ but commonly known as the Liberal Party).  All three parties worked together in government between 2001 and 2005 and all three parties generally accept the fait accompli of the Norwegian social welfare state and Labour’s rules to stash much of Norway’s annual budget surplus in the country’s massive oil wealth fund.  The Conservatives, in particular, have spent the election arguing for slight changes to the status quo, such as lower business taxes and tweaks to Norway’s health care system, after a major rebranding exercise to grow beyond their base of Oslo business interests.

But the coalition must also include the more controversial Framskrittspartiet (Progress Party).  Most reports highlight that the party is relatively populist and anti-immigrant, and that it was the party of Norway’s Anders Behring Breivik, who was responsible for the deadliest killings in Norway’s history in twin attacks in 2011.  That’s all true, but the party’s roots are in the anti-tax movement of the 1970s, and its goal is a massive rupture from the status quo — it would claw back many of Norway’s social benefits, drastically reduce the role of government in Norwegian life, but it would also push to spend more of the Norwegian oil surplus (or return it in the form of lower taxes).   Continue reading Solberg set to lead broad center-right coalition in Norway after today’s election