Germany’s Economic Collapse and Free Speech Crackdown
How Centralized Control, Anti-Nuclear Policies, and the Debt Brake Are Pushing Germany Toward Crisis—and Why Liberty Is the Only Fix
What has happened with Germany these days? Recently, 60 Minutes did a segment on Germany’s anti-free speech policies. The authorities glibly fine people for saying negative things on their social media accounts—things that may offend or upset another German. What happened to this nation that had such industrial might and economic stability? It is now going back to Gestapo-style tactics to control the speech of its citizens while mired in two years of economic contractions and rising energy costs. Talk about a case study on the perils of centralized control missteps and what happens when a country abandons free speech and free market principles!
According to reports, 70% of German citizens live in fear as their cost of living escalates, which includes energy prices. It’s no wonder the Alternative für Deutschland (AfD) is surging in popularity amid the gross dissatisfaction with the German government. Elections are happening on February 23rd, and they will likely be in favor of common sense governing over the failed “left-green ideology.” But we’ll see.
It seems to me that Germany’s problems have come from an overreliance on a centralized government. While Germans voted this in, they are seeing the err of their ways, similar to how America is moving away from dependence on government, favoring the ending of all the government waste and seeking to downsize the U.S. government—with a few vocal protesters along the way.
For those unaware, Germany has had a long, storied past of how they get their energy; in the 1980s, Germany used a lot of nuclear power. Yet the 1986 Chernobyl disaster sparked an anti-nuclear movement, which was amplified by the Green Party, and by 2000, Germany had the Energiewende policy in place, which was a strong push for wind and solar energy while passing out nuclear, but it also relied on cheap Russian gas to “fill the gaps” — until the Ukraine war severed that lifeline, and now Germans have an unstable grid and exorbitant energy bills. The Russian-Ukraine was as the perfect storm against Germany’s energy plan.
Germany could have been in a much better position today had it continued its nuclear vision. Rather than let nuclear plants stay online, the German government imposed subsidies and price controls to encourage property owners to go with solar, wind, and natural gas, allowing its nuclear vision to fizzle away. They should have incentivized innovation rather than hand out solar and wind subsidies. As a result, it is taking time to get their nuclear energy plants up and running. while solar and wind have proven not to be as reliable as natural gas and nuclear.
This does not bode well for the Social Democrats, Greens, and Free Democrats—such coalitions expose the problem with a centralized ideology, rather than allowing freedoms to flourish. The Greens pushed their anti-nuclear, anti-growth agenda; the Free Democrats clung to fiscal restraint via the debt brake; and the Social Democrats tried to paper over the cracks with more spending. It was the perfect storm for stagnation, allowing the AfD to gain traction—polling as high as 20% in some regions—Germans are flirting with populism.
Germany’s debt brake sounded like a great idea, so it was added to their constitution in 2009 to cap federal borrowing at 0.35% of GDP—yet it was not paired with aggressive deregulation and spending cuts, rather than letting it ossify into a rigid, counterproductive fetish. Similar to when American administrations cut taxes, they should cut spending at the same time, yet they always raise spending, resulting in disaster. Germany should have slashed wasteful subsidies—like the billions funneled into inefficient renewables—and reduced its bureaucratic overhead, freeing up resources without breaching the cap. This would have allowed private markets to fund infrastructural improvements for the country.
What’s the way out for Germany? It’s simple: dismantle the leviathan. Slash regulations that stifle energy production—bring back nuclear, let firms drill, innovate, and compete. End subsidies that prop up inefficient industries and distort markets. Above all, trust individuals and businesses to adapt, not bureaucrats who’ve proven they can’t.
Germany’s crisis isn’t just economic—it’s a warning. When the state oversteps, dictating energy policy, rigging markets, and ignoring trade-offs, it doesn’t just fail; it drags everyone down with it. The February 23 elections could be a turning point, but only if Germans reject the statist quo for liberty. Otherwise, as one X post grimly predicts, “the next recession will be brutal.” Freedom, not more government, is the cure. Let’s hope they see it in time.
