German Political Parties and Lobbyists: Funding and Influence
A Hallmark of the German Party System: The Grand Coalition
A hallmark of the German party system is the idea of a grand coalition (Große Koalition) between the two main political forces, born in 1966 following a crisis to prevent ungovernability. The ideologization of parties (parties *atrapatodo*) allowed a rapprochement between the major powers. Despite this, a grand coalition is a palpable sign of crisis in party democracy and a mockery of parliamentary democracy, since it prevents the change of government. It’s another sign of the defensive nature of German democracy, but ultimately it ended up turning against democracy itself.
The Role of Political Parties Under the Basic Law
Under the Basic Law, political parties will cooperate in forming the political will of the people. Their creation will be free. Their internal organization must conform to democratic principles. Thus, parties appear as partners *par excellence* between citizens and state organs. Hence, the said Act makes clear that parties whose purpose or attitude of its adherents tend to undermine or destroy the fundamental system of freedom and democracy, or endanger the existence of the Federal Republic of Germany, are unconstitutional.
Funding of Political Parties in Germany
The funding of political parties has recently occupied a very important role in Germany, to the point that the most important politician of the past two decades, Helmut Kohl, Chancellor of unification, had to resign from his honorary positions, be subject to the opening of legal proceedings, and eventually pay a heavy fine for refusing to give the names of people who financed the CDU. The Basic Law stipulates that political parties should publicly account for the origin and use of their resources and their property. Under the Political Parties Act of 1967, parties receive money from the state spent on election campaigns. The Constitutional Court ruling of 1989 recognized the right to fund all activities of a party, not just elections, but this funding should not in any way assume 100% of the financing of parties, as this would put them at the mercy of the State, thereby sacrificing their freedom to shape the popular will.
Constitutional Court’s Stance on Funding
Therefore, the Constitutional Court established that the means of private funding (fees plus grants) are more important than public funding. The latest reform of the Law of Parties was in 1994 and reflects the state direct grant matches, reworked tax privileges of dues and donations, reduced the annual expenses of advertising, and established the obligation to submit a financial report and accounts. Among the different parties, the SPD emphasizes increased funding through membership fees, while the FDP and the CSU are the largest recipients of donations.
Lobbyists: Between State and Market
Lobbyists are arranged between the state and the market, mainly characterized by their non-profit nature. Within this sector, we should include political parties, associations, chambers, and churches. The differences between these organizations tend to be covered by legislation. The difference was in the approach or departure from the Administration in regard to its purposes and organization, which, in turn, makes them subject to public law or not. Of great importance are the unions and employers for their special relevance in economic organization.
Unions vs. Employers
While unions are seeking a greater share of business profits, companies are seeking to increase profits. The assumption of the work of these organizations in shaping the political will is typical of Western states, especially after the Second World War, although its birth and development belong to the 19th century. While the associations of workers were born in response to poor working conditions that accompanied the capitalist system, business associations are a response to foreign competition and the cyclical crises of these economies.
The Concept of “State Associations”
The expression state associations is a term coined for the West, and it notes the quasi-institutional interest groups have in Germany. There are approximately 5,000 associations in Germany capable of influencing society, from a total of 200,000 associations.