Transport Infrastructure in Shrinking (East) Germany

Abstract

Policy on transport infrastructure in Germany will come under increasing pressure thanks to considerable changes in basic conditions. Demographic change, shifts in economic and regional structures, continued social individualization, and the chronic budget crisis in the public sphere are forcing a readjustment of government action. At root, the impact of the changes in demographics and economic structures touches on what Germans themselves think their postwar democracy stands for. Highly consensual underlying assumptions about Germany as a model are being shaken. The doctrine that development of infrastructure is tantamount to growth and prosperity no longer holds. The experience in eastern Germany shows that more and better infrastructure does not automatically lead to more growth. Moreover, uniform government regulation is hitting limits. If the differences between boom regions and depopulated zones remain as large as they are, then it makes no sense to have the same regulatory maze apply to both cases. In transportation policy, that shift would mean recasting the legal foundations of public transport.