[1] Among other things, balances mechanics enabled the theories of John Maynard Keynes in which he argued that government deficit spending can be necessary during a deflationary depression to be placed on a formal, structural arithmetic foundation based on accounting identities.
He, therefore, not only explained the validity of Keynes' theory of demand-driven output and employment but also showed that it applies only in the special case of a buyer's market situation.
He received his diploma in 1950, and a doctorate in 1952 for his thesis on The Relation of the Economy to the State (German: Verhältnis der Wirtschaft zum Staat).
[4] After two years as an assistant to Prof. Brinkmann in Tübingen, during which he finished his habilitation on Paradoxes of Monetary Economies,[5] he got a research scholarship at the London School of Economics.
From 1957-1958 worked as a research associate and later a department head for publications and special functions at the German Bundesbank (Central Bank of the Federal Republic of Germany).
Stützel became a member of the German Council of Economic Experts (Sachverständigenrat zur Begutachtung der gesamtwirtschaftlichen Entwicklung) in February 1966, then resigned in September 1968 because he did not support the revaluation of the Deutsche Mark and his dissenting view was not accepted.
Stützel viewed that as a structural rather than a cyclical problem and advocated for cuts in the social sector and the reduction of job security protections.
In his book Market Price and Human Dignity (German: Marktpreis und Menschenwürde, 1981) he argued for a conversion of the social state according to the views of economic liberalism in the Kronberger Kreis.