Subsidies are selective benefits granted by the federal government, states, municipalities and other state institutions in favor of selected branches of production and ultimately certain groups of persons.

Subsidization policy is intensively discussed in Germany. Subsidies comprise by definition tax expenditures and those government expenditures which distort the structure of the economy; financial aid is granted to different branches by the EU, the...

Tax concessions are granted for a variety of purposes in Germany. They will be reduced by measures decided upon in December 2003.

According to the principle of "promoting and demanding", Hartz IV should help unemployed people to live without transfers as quickly as possible.

Based on a description of the German system of taxes and transfers, the incentives to work are analyzed for several groups of the labor force. The effects of the Hartz IV reform (effective from 2005 onwards) on the incentives receive particular...

It is often feared that tax competition might lead to a race to the bottom. The consequence of a decline of tax rates on capital income would be shrinking capital income tax revenues and difficulties for national governments to perform their usual...

Subsidization policy is intensively discussed in Germany. The paper demonstrates the extent of subsidization in Germany.