Ordoliberalism: neither exclusively German nor an oddity. A review essay of Malte Dold’s and Tim Krieger’s Ordoliberalism and European Economic Policy: Between Realpolitik and Economic Utopia.

Abstract

The German intellectual tradition of ordoliberalism, a variant of neoliberalism particularly committed to a “functional and humane order,” was long ignored in the Anglo-Saxon world. More recently, this has changed to some degree, especially under the impression of the European sovereign-debt crisis, during which Germany’s insistence on rule-abiding behavior was critically attributed to the ordoliberal heritage. In the anthology edited by Malte Dold and Tim Krieger, ordoliberalism is discussed from many different angles, including the historical roots in the Freiburg School, the recent much-disputed strategies for dealing with the eurozone crisis, and a further development of the research program. The editors argue that scholarship in the spirit of ordoliberalism would benefit from being embedded within the interdisciplinary scientific cluster of Philosophy, Politics and Economics (PPE). The book makes a valuable contribution to a better-informed international discourse across the disciplines.

The Renaissance of Ordoliberalism in the 1970s and 1980s

“…26 During the 1970s and 1980s, ordoliberalism failed to develop its theoretical aspect and connect it -with its own specific contribution -to international mainstream research programs in economics and/or neighboring disciplines. It remained introspective, lacked -by international standardsquality as well as openness and consequently did not reap the benefits of the methodological diversity and division of labor within the discipline (Horn 2022). Nevertheless, ordoliberal scholars took regularly and actively part in inner-German academic and public debates about concrete economic policy measures.…”

“…In recent years, there has been a resurgence of academic interest in ordoliberalism Krieger 2019a, 2021;Horn 2022). This literature, which originates from various academic disciplines (including, e.g., economics, political science, law, sociology), focuses mostly on the arguments of the founding generation of ordoliberals, in particular the members of the Freiburg School and the ordoliberal social philosopher Wilhelm Röpke.…”

“…This academic research program (Ordnungsökonomik or Ordnungstheorie) developed "around the question what a good societal and economic order looks like, how it can be implemented, and what types of institutions and rules work better than others" (Horn 2022, p. 548).3 On the distinction between ordoliberal theory and policy, seeVanberg (2004) Horn (2022). proposes to further distinguish the practical policy advice (Ordnungspolitik) from the normative standpoint on which it is based.…”

When Liberty Presupposes Order: F. A. Hayek’s Contextual Ordoliberalism

“…Given the focus of the paper, it is not necessary to plunge into the details of ordoliberal political economy. 9 Instead, the spotlight is on the two aspects relevant for the claim about Hayek's 9 For various aspects of ordoliberal political economy, see especially Goldschmidt (2013), Goldschmidt and Hesse (2013), Vanberg (2015), Kolev (2017), Dyson (2021), Horn (2022), Fèvre (2022) and Biebricher, Bonefeld and Nedergaard (2022).…”

When Liberty Presupposes Order: F. A. Hayek’s Contextual Ordoliberalism

“… 9 For various aspects of ordoliberal political economy, see especially Goldschmidt (2013); Goldschmidt and Hesse (2013); Vanberg (2015); Kolev (2017); Dyson (2021); Horn (2022); Fèvre (2022); Biebricher, Bonefeld, and Nedergaard (2022); and Goldschmidt and Kolev (2023). …”