Part III tells how, after the building of the wall, economists arranged themselves with the regime and developed an ethos of continuous reform. This chapter describes the first major reform of this period: Ulbricht’s attempt to modernize socialism through his New Economic Policy including the so-called third university reform. While economists have gained prominence, and also freedom, in developing new methods such as in economic cybernetics, political stability and the logic of class conflict put limits on their effectiveness. Thus, the Prague Spring, at the latest, marked the end to the heyday of the East German economists.