In the News
Subsidies - Row over Germany’s public transport ticket jumping from €9 to €49
![](https://tutor2u-net.imgix.net/user-photos/graham-watson.png?auto=compress%2Cformat&crop=focalpoint&fit=crop&fp-x=0.5&fp-y=0.5&h=100&q=80&w=100)
4th November 2022
The state subsidising public transport in Germany has become a live political issue after the federal government announced a new monthly ticket for 49 euros.
However, last summer, the same ticket was 9 euros and anti-poverty campaigners argue that the new ticket is beyond the means of the economy's poorest.
It's a lovely example of the distributional effects of a subsidy: the intention is good, but it seems that the majority of the benefits are going to be enjoyed by the middle-class, not Germany's poor.
Probably worth noting that the Euro 49 per month ticket covers the entirety of Germany and not just one city!
Row over Germany’s public transport ticket jumping from €9 to €49 https://t.co/KEzuNtGlSq
— The Guardian (@guardian) November 3, 2022
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