All Roads Lead To Serfdom: Confronting Liberalism's Fatal Flaw
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The state, society and community The state, society and community
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Freedom through living spaces Freedom through living spaces
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The welfare state The welfare state
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The EU: an ordoliberal institution after all The EU: an ordoliberal institution after all
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7 Structure of the State: Community and Vitalpolitik
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Published:09 June 2022
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Abstract
Rüstow and Röpke attempted to counteract the threat of societal alienation by arguing communities had to be the foundation for social and economic development or Vitalpolitik, which was necessary to complement the market. These communities would be based on individuals and their families in a decentralised economic system, taking into account the natural environment. Thus placemaking played a pivotal role in equalising power between places, as well as a balance between industrial and environmental concerns. Social policy had to be embedded into the fabric of economic policy with a dynamic economy supported by contributory insurance schemes. Where insurance contracts were not practicable, the state had to provide a basic level of welfare to all citizens. This foundation could also serve as the basis for closer interaction with other like-minded communities. By equalising the starting conditions for economic interaction, the European Union via its single market has created a unique political structure which exemplifies the voluntary principle. However, such organisations must ensure that legitimation is bottom up which remains a fundamental challenge for the legitimation of the EU.
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