Comment to "The Euro from a Business Perspective" by A. Dilger

The article makes an important contribution by recognizing that the companies located in the North of Europe, in particular Germany, have benefitted from the euro over the last 20 years. The fact that the euro has on average been weaker, in relation to other currencies like the dollar, than would otherwise have been the national currency, for instance the DM, contributed to support exports, which is the backbone of Germany’s economy. It is an important contribution because the public discussion in Germany often focused on the costs borne by its citizens, in particular its taxpayers, resulting from the monetary union. In fact, German taxpayers have not been penalized by the euro, on the contrary. One could even consider that they actually benefitted from being members of a monetary union, in particular as a result of the negative real yield paid over the years on German Bunds, which have alleviated the burden of the debt.