Distribution Policy for More Inclusion and Growth

Anyone looking to redistribute must choose the right instruments. Interventions in the market phase are sometimes not very precise and can impair the functioning of markets, as demonstrated by the Berlin rent cap: intervention in rental market pricing led to a drastic shortage of rental housing supply in the regulated segment. Certain pre-market measures, however, generate few conflicts with efficiency and growth goals. One example is education policy. It creates considerable scope, greater inclusion and equality of opportunity, and higher productivity.