Will Germany leave the euro?

The launch of an anti-euro party in Germany has raised the spectre of a German exit.

"Europe has an unfortunate tendency towards civil unrest when subjected to extreme economic pain," says Albert Edwards of Socit Gnrale. This could force governments in the southern states to abandon austerity and the euro. But that isn't the only way the euro could split. The launch this week of a new German anti-euro party, Alternative fr Deutschland, also raises the spectre of a German exit.

Alternative wants "the dissolution of the euro in favour of national currencies or smaller currency unions" and an end to the bail-out fund. It reflects concern that Germany "has become the de facto paymaster for the rest of the eurozone", says Spiegel.de, a news website. It says citizens are being misled about the true extent of Germany's potential bail-out bill.

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