In 1951, Lambsdorff became a member of the liberal FDP, and from 1972 to 1998 he represented this party in the Federal parliament, the
Bundestag. Within and outside his party he was known as a representative of the
market liberals; a mocking name was
der Marktgraf ("the market count", a play on
Markgraf, "
margrave").
Federal Minister for Economic Affairs When
Chancellor Willy Brandt made way for
Helmut Schmidt in 1977, Lambsdorff was appointed
West German Federal Minister of Economics in the new government and served from 1977 until 1982. He held the same office again from 1982 until 1984 in the government of
Chancellor Helmut Kohl after his party pulled out of the coalition with the Social Democratic Party to form a new Government with Kohl's Christian Democratic Union. In 1987, Lambsdorff became the first West German cabinet minister to be indicted while in office when he was forced to resign over allegations of corruption in the so-called
Flick Affair. By January 1987, however, the prosecutor asked the court to acquit Lambsdorff of all corruption charges, including charges he accepted $50,000 between 1977 and 1980 from the Flick concern in return for granting lucrative tax waivers. On 16 February 1987, he was convicted by the Bonn State Court on lesser charges, namely tax evasion on donations to political parties. During the 18-month trial, he won re-election to Parliament and served as his parliamentary group's spokesman on economic matters.
Chairman of the Free Democrats Lambsdorff served as chairman of the FDP from 1988 until 1993. In 1991, during the Persian Gulf war, Lambsdorff joined American officials in voicing anger at the German government, accusing it of moving slowly to prevent some German companies from supplying Iraq with arms and poison gas plants. Following
Hans-Dietrich Genscher's resignation, Lambsdorff and Chancellor
Helmut Kohl named
Irmgard Schwaetzer, a former aide to Genscher, to be the new Foreign Minister. In a surprise decision, however, a majority of the FDP parliamentary group rejected her nomination and voted instead to name Justice Minister
Klaus Kinkel to head the Foreign Ministry. ==Life after politics==