Der dritte Weg, Potsdam, 1933. Blumenberg-Lampe, C. Erhard, L., Wirken und Reden, Ludwigsburg, 1966, p. 320. Social market economies also posit that government regulation and even sponsorship of markets can lead to superior economic outcomes as evidenced in government sponsorship of the Internet or basic securities regulation. Erhard, L., Wirtschaft und Bildung (17 Aug 1957), reprinted in: Hohmann, K. Social market economies aims to combine free initiative and social welfare on the basis of a competitive economy. Albert analyzes the Rhenish model as the more equitable, efficient and less violent one.  The concept of the model has since been expanded upon into the idea of an eco-social market economy as not only taking into account the social responsibility of humanity, but also the sustainable use and protection of natural resources. Oppenheimer, F., Weder so – noch so. Was ist soziale Martwirtschaft? He compared the so-called "neo-American model" of a capitalistic market economy introduced by the administrations of Ronald Reagan and Margaret Thatcher with what he called Rhine capitalism, present in Germany, France and in some of the Northern European economies. ", https://en.wikipedia.org/w/index.php?title=Social_market_economy&oldid=989060110, Articles with unsourced statements from August 2020, Creative Commons Attribution-ShareAlike License. .  By proclaiming "the freer an economy is, the more social it is", Erhard once told Friedrich Hayek that the free market economy did not need to be made social, but that it was social in its origin. , At first controversial, the model became increasingly popular in West Germany and Austria since in both states economic success (Wirtschaftswunder) was identified with it. The program included universal healthcare, compulsory education, sickness insurance, accident insurance, disability insurance and a retirement pension, none of which were then in existence to any great degree anywhere else in the world. Röpke, W., Grundfragen rationeller Wirtschaftspolitik, in: Zeitschrift für Schweizer Statistik & Volkswirtschaft, no. 78 M 15: Verfassungsrechtliche Grundlagen der Sozialen Marktwirtschaft . Although the social market economy model evolved from ordoliberalism, this concept was not identical with the conception of the Freiburg School as it emphasized the state's responsibility actively to improve the market condition and simultaneously to pursue a social balance. In contrast to the situation in a free market economy, the state is not passive and actively implements, This page was last edited on 16 November 2020, at 20:46.  The term "social" was established by Adenauer to prevent further reference to Christian socialism which was used in the early party agenda Ahlener Programm in 1947.. However, in fact both Volksparteien had suffered large percentage losses over their previous Land election totals by failing to capture a comparable share of the enlarged electorate. Soon after, at the second party congress of the Christian Democratic Union in the British zone in Recklinghausen on 28 August 1948, Erhard circumscribed the concept as a "socially committed market economy". The economically liberal FDP were in fact the only political party consistently gaining percentage of votes between 1946 and 1949. Chancellor Konrad Adenauer of the ruling CDU implemented a new novel economic order amalgamating the promotion of free competition with the responsibility of the social government.  Its origins can be traced to the interwar Freiburg school of economic thought. 559 ff. , Important figures in the development of the concept include Eucken, Röpke, Alexander Rüstow, Franz Böhm, Oppenheimer, Erhard, Constantin von Dietze and Müller-Armack, who originally coined the term Soziale Marktwirtschaft.  On 17 August 1948, Erhard referred to Müller-Armack by whom he was strongly impressed most of all not as a theorist, but instead as one who wanted to transfer theory into practice and his concept of the social market economy. Glossner, C. L.; Gregosz, D., The Formation and Implementation of the Social Market Economy by Alfred Müller-Armack and Ludwig Erhard, Sankt Augustin/Berlin, 2011, S. 32. Soziale Markt-wirtschaft sichert zudem einen freien und fairen Wettbewerb in der Wirtschaft. Soziale Marktwirtschaft 5.2 Soziale Marktwirtschaft kennenlernen 216 - 223 Öffentliche Abgaben − Steuern − Gebühren − Beiträge − Zölle Wahlpflicht 1: Konflikte in der Arbeitswelt Zeitrichtwert: 4 Std. (ed. Görtemaker, M., Geschichte der Bundesrepublik Deutschland: Von der Gründung bis zur Gegenwart, Munich, 1999, p. 148. Ethische Aspekte eines bewährten Konzeptes im Zeitalter der Globalisierung.  Erhard was rather inclined to Walter Eucken's ordoliberal competitive market order. Your input will affect cover photo selection, along with input from other users. Wettbewerb ein Mittel zur However, the eventual implementation required not only communication, but also political backup. 57-61 or Rieter, H.; Schmolz, M., The Ideas of German Ordoliberalism 1938–1945: Pointing the Way to a New Economic Order, in: The European Journal of the History of Economic Thought 1, London, 1993, pp.  In putting social policy on a par with economic policy, Müller-Armack's concept was more emphatic regarding socio-political aims than the ordoliberal economic concept. 1, Munich, 1986, p. 25. In the 1970s, Joseph introduced the idea as an alternative to the post-war consensus allowing free markets for competition and innovation whilst the role of government was to help hold the ring, provide infrastructure, maintain a stable currency, a framework of laws, implementation of law and order, provision of a safety net (welfare state), defence of property rights and all other rights involved in the economic process. However, the question of the origins of the term Soziale Marktwirtschaft is still controversial. 45 (373), Sankt Augin, 2000, pp. Z.B. Michel Albert described a similar concept, "Rhine capitalism". 9, Göttingen, 1956, p. 249. Both schools of economic thought considered that a certain form of planning was necessary for a transitional period following the war. Band 3: Theorie der reinen und politischen Ökonomie, Teil 1: Grundlagen, Jena, 1910, p. 9.  Joseph eventually set up a think tank in 1974 to study the model and initially called it the Ludwig Erhard Foundation and Institute for a Social Market Economy before settling on the name Centre for Policy Studies. 326 f. Müller-Armack, A., Religion und Wirtschaft, Bern/ Stuttgart, 1950, pp. Of those eligible to vote, 25 million or 78.5 per cent actually went to the ballot boxes and showed a clear commitment to the emerging post-war democracy. To trump the militant socialists, Bismarck gave workers a corporate status in the legal and political structures of the German Empire. ), Der Weg in die Soziale Marktwirtschaft: Referate, Protokolle, Gutachten der Arbeitsgemeinschaft Erwin von Beckerath 1943–1947, Stuttgart, 1986, p. 192.