The Greek crisis and German hostility toward a third bailout for the troubled country provide an appropriate time to examine Europe’s largest economy’s relationship to the single currency. How does euro membership help Germany? Where might it hurt? The relative weakness of the euro versus a hypothetical Deutschmark is an advantage for Germany. In addition to the fiscal orderliness of Germany, the currency union also includes countries like Italy, Spain, France and Greece all of which haven’t been as successful as Germany in recent years. This weighs on the euro’s strength, which helps German exporters. As is well ... (full story)