IESET.
Policies·de_zukunftsinvestitionsprogramm_1975

FRG Zukunftsinvestitionsprogramm — counter-cyclical investment (1975)

DEU·1975 1977·enacted 1975-08-27·SPD-FDPcandidate
movesspending levelsectoral subsidy

What the policy did

Counter-cyclical public-investment programme in response to the first oil-shock recession. Schmidt-Apel Keynesian demand-side stimulus worth approximately DM8.8bn, focused on public works, housing, and infrastructure. One of the relatively few clearly- Keynesian discretionary fiscal acts of the Schmidt era; broader policy emphasis remained on monetary conservatism and supply-side institutions.

Policy-content fingerprint — what this policy moved, on which axes

Per invariant 3, reforms are scored by what they did on each channel-separated axis, not by the party that enacted them. This fingerprint is how the policy-match engine finds historical analogues.

intended
spending level
fiscal.spending_level
General government spending as share of GDP, excluding transfers already captured under fiscal.transfer_expansion to avoid double-counting.
increased · moderate
higher spending share
DM8.8bn discretionary fiscal impulse.
sectoral subsidy
fiscal.sectoral_subsidy
Targeted industrial and sectoral subsidies (renewable energy, chip manufacturing, agriculture, green hydrogen, etc).
increased · weak
expanded sectoral subsidies
Infrastructure and housing targeted.

Enacted by

Empirical evidence — linked hypotheses

Explicit links are curated by the author. Inferred links are hypotheses in the library that test the same axes this policy moved — the framework's answer to "what does the data say about a policy like this?".

Large welfare states sustain long-run real GDP per capita growth when paired with market flexibility (low product- and labour-market barriers), trade openness, and fiscal discipline (debt-to-GDP below 90%), but not when paired with rigid product and labour markets, in an OECD and rich- country panel 1980-2020.
welfare_state_market_flexibility_complementinferred
viafiscal.spending_level
PARTIAL — coef=+3.308e-18, p=0.653; effect magnitude effectively zero
partial
Truss 2022 mini-budget shows that unfunded fiscal expansion above the ZLB triggers sharp bond-market and currency responses through expected-inflation and risk-premium channels.
unfunded_fiscal_expansion_above_zlb_bond_market_responseinferred
viafiscal.spending_level
SUPPORTED — GBP/USD trough on 2022-09-26 (1.0703) was 5.02% below the 2022-09-22 pre-announcement close (1.1269); log-decline +0.0515 clears the 3.0% threshold …
supported
Fiscal multipliers are state-dependent: large at ZLB, small near full employment; no single-number answer is policy-relevant.
fiscal_multipliers_state_dependentinferred
viafiscal.spending_level
REFUTED — sign - OPPOSITE claim +, cumulative_effect=-1.569, h=5, p_h=0.0155
refuted
The Soviet central-planning system, having already exhibited TFP stagnation 1970-1989, underwent a canonical institutional and economic collapse 1989-1998 as plan-enforcement was withdrawn without functioning market institutions in place.
soviet_union_central_planning_gdp_collapse_1989_1991inferred
viafiscal.spending_level
INCONCLUSIVE_DATA_PENDING — no outcome variable loaded; missing: ['derived: count of canonical_metrics with threshold met']
run pending
UK Truss mini-budget 2022 gilt crisis reflected market confidence and institutional-framework rupture rather than an MMT-predicted hard fiscal limit, because the BoE restored order by intervening as issuer.
uk_truss_mini_budget_currency_sovereign_mechanisminferred
viafiscal.spending_level
partial — Both mechanism legs are directionally consistent but at least one fails the SUPPORTED threshold: FX leg holds (5.02% trough decline); yield leg partia…
partial
UK GDP per capita (PPP, constant international dollars) diverged negatively from a matched synthetic counterfactual of similar-income anglophone/developed economies (USA, CAN, AUS, NZL, DEU, NLD, CHE) starting around 2008 and widening post-2016 (Brexit referendum).
uk_economic_decline_multi_movementinferred
viafiscal.spending_level
INCONCLUSIVE_DATA_PENDING — treatment 'uk_post_2008' has no within-country variation under country fixed effects
run pending
The 2022-2026 wave of major-economy industrial-policy programmes — US IRA + CHIPS, EU Critical Raw Materials Act + Net-Zero Industry Act, EU Chips Act, Japan Green Transformation (GX, ¥150tn / ~$1tn announced), Korea K-Chips + Korean New Deal 2.0, China 14th Five-Year Plan + Made-in-China-2025-2.0 with semiconductors and clean energy as national-security frontier — represents the largest coordinated wave of industrial-policy spending in the post-1970s OECD record.
green_industrial_policy_global_chip_race_2022_2026inferred
viafiscal.sectoral_subsidy
INCONCLUSIVE_DATA_PENDING — insufficient observations after listwise deletion (20)
run pending
Biden's IRA/CHIPS industrial policy will show partial success on capacity-building metrics and mixed results on job creation, consistent with the conditional view that industrial policy works where targeting is technically competent and governance is strong.
industrial_policy_semiconductor_chips_act_effectivenessinferred
viafiscal.sectoral_subsidy
inconclusive — Stacked: (4/4) spec-named semi-specific series unavailable on disk (oecd:STAN_INDUSTRY ISIC C26, bls:CES3133, ilostat:semiconductor employment, c…
run pending

Similar historical policies

Ranked by axis-fingerprint overlap with this policy. Direction match bolded — those are the closest historical analogues. Shape of the match is what drives policy-outcome comparison, not the country or party label.