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As Merkel Embarks on Third Term, Critics Urge Her to Be Daring As Merkel Embarks on Third Term, Critics Urge Her to Be Daring
(about 17 hours later)
BERLIN — Chancellor Angela Merkel, a decisive winner in September’s elections but muted ever since about where she plans to take Europe’s biggest economy, embarks this week on a third term that could put her stamp on German and European history — but only, critics say, if she abandons her cautious tactics for a more strategic embrace of the demands of the 21st century.BERLIN — Chancellor Angela Merkel, a decisive winner in September’s elections but muted ever since about where she plans to take Europe’s biggest economy, embarks this week on a third term that could put her stamp on German and European history — but only, critics say, if she abandons her cautious tactics for a more strategic embrace of the demands of the 21st century.
But few experts here said they expected to see such a significant change of course.But few experts here said they expected to see such a significant change of course.
The legacy of Ms. Merkel — the youngest chancellor ever when, in 2005, she was first sworn in, and the first woman and the first former East German to hold the post — could be in Europe, nurturing its fragile economic recovery and encouraging further European integration, said Marcel Fratzscher of the influential German Institute for Economic Research in Berlin.The legacy of Ms. Merkel — the youngest chancellor ever when, in 2005, she was first sworn in, and the first woman and the first former East German to hold the post — could be in Europe, nurturing its fragile economic recovery and encouraging further European integration, said Marcel Fratzscher of the influential German Institute for Economic Research in Berlin.
“But if she left office now, it certainly would not be Europe. It would be the safe pair of hands” — highlighted in her election campaign — “that maneuvered Germany through the crisis,” he said. “Not more, and not less.”“But if she left office now, it certainly would not be Europe. It would be the safe pair of hands” — highlighted in her election campaign — “that maneuvered Germany through the crisis,” he said. “Not more, and not less.”
For now, he said , Ms. Merkel and her government are likely to stick to “the policy of small steps, reactive rather than proactive.” The coalition agreement reached this weekend with the Social Democrats, he said by telephone, was “remarkably noncommittal on Europe.”For now, he said , Ms. Merkel and her government are likely to stick to “the policy of small steps, reactive rather than proactive.” The coalition agreement reached this weekend with the Social Democrats, he said by telephone, was “remarkably noncommittal on Europe.”
Ms. Merkel faces an array of other challenges. She is trying to wean her country from nuclear power. She is trying to define new rules for Germany’s relationship with the United States after disclosures about the National Security Agency’s surveillance activities. She is facing pressures at home to do more for Germans and from abroad to take on international responsibilities commensurate with Germany’s strength.Ms. Merkel faces an array of other challenges. She is trying to wean her country from nuclear power. She is trying to define new rules for Germany’s relationship with the United States after disclosures about the National Security Agency’s surveillance activities. She is facing pressures at home to do more for Germans and from abroad to take on international responsibilities commensurate with Germany’s strength.
Her task is made all the more complicated by the consensus-oriented nature of the German political system and her own innate caution, both of which continue at times to frustrate allies at home and abroad who have looked to her for greater flexibility and bolder leadership.Her task is made all the more complicated by the consensus-oriented nature of the German political system and her own innate caution, both of which continue at times to frustrate allies at home and abroad who have looked to her for greater flexibility and bolder leadership.
There was scant hint of change in the coalition agreement to Ms. Merkel’s fiscally conservative approach to Europe’s economic problems, even as it signaled a willingness to bolster some worker protections and expand some welfare state provisions for Germans.There was scant hint of change in the coalition agreement to Ms. Merkel’s fiscally conservative approach to Europe’s economic problems, even as it signaled a willingness to bolster some worker protections and expand some welfare state provisions for Germans.
The German business lobby and some economists have howled over the new government’s promise to introduce a minimum wage and to raise to 63 the retirement age for workers with 45 years of social security contributions. Yet the message this weekend from Ms. Merkel and her new cabinet was that they would plow forward with those changes. The German business lobby and some economists have howled over the new government’s promise to introduce a minimum wage and to lower to 63 the retirement age for workers with 45 years of social security contributions. Yet the message this weekend from Ms. Merkel and her new cabinet was that they would plow forward with those changes.
Sigmar Gabriel, leader of the Social Democrats, is widely considered to have skillfully negotiated the new coalition pact, shepherding it past the resistance of leftists in his party. He will become the new economics and energy minister, charged with carrying out Ms. Merkel’s rare bold pledge to turn away from nuclear power and rely more on renewable energy sources.Sigmar Gabriel, leader of the Social Democrats, is widely considered to have skillfully negotiated the new coalition pact, shepherding it past the resistance of leftists in his party. He will become the new economics and energy minister, charged with carrying out Ms. Merkel’s rare bold pledge to turn away from nuclear power and rely more on renewable energy sources.
Wolfgang Schäuble, at 71 the most experienced politician in the German government, retains his position as finance minister, meaning the conservatives control the purse strings and the all-important Chancellery.Wolfgang Schäuble, at 71 the most experienced politician in the German government, retains his position as finance minister, meaning the conservatives control the purse strings and the all-important Chancellery.
Frank-Walter Steinmeier, a Social Democrat, returns to the Foreign Ministry that he headed in Ms. Merkel’s first “grand coalition” from 2005 to 2009. Some conservatives and other critics have accused him of being too soft on Russia, and his handling of the crisis in Ukraine will be closely watched.Frank-Walter Steinmeier, a Social Democrat, returns to the Foreign Ministry that he headed in Ms. Merkel’s first “grand coalition” from 2005 to 2009. Some conservatives and other critics have accused him of being too soft on Russia, and his handling of the crisis in Ukraine will be closely watched.
Perhaps the only real surprise as details of the cabinet leaked out this weekend was the nomination of Ursula von der Leyen, a Christian Democrat, as the first female defense minister in Germany. Ms. von der Leyen is an energetic mother of seven who has made the position and advancement of women her signature issue. Commentators say she may have the skills and energy to undertake a revamping of European security policy much desired by Germany’s partners in NATO.Perhaps the only real surprise as details of the cabinet leaked out this weekend was the nomination of Ursula von der Leyen, a Christian Democrat, as the first female defense minister in Germany. Ms. von der Leyen is an energetic mother of seven who has made the position and advancement of women her signature issue. Commentators say she may have the skills and energy to undertake a revamping of European security policy much desired by Germany’s partners in NATO.
Many people note how skilled Ms. Merkel, 59 and a trained scientist, has been at leaving room to maneuver out of almost any political situation in her eight years in office. In the same way, she could still now surprise Germans and Europeans with a determined push to remake Europe — according more power to the European Parliament, say, or even embracing reforms that would require treaty changes and democratic approval.Many people note how skilled Ms. Merkel, 59 and a trained scientist, has been at leaving room to maneuver out of almost any political situation in her eight years in office. In the same way, she could still now surprise Germans and Europeans with a determined push to remake Europe — according more power to the European Parliament, say, or even embracing reforms that would require treaty changes and democratic approval.
More overt expressions of sympathy with the struggling nations of southern Europe would be welcome, suggested Nils Diederich, a politics professor in Berlin.More overt expressions of sympathy with the struggling nations of southern Europe would be welcome, suggested Nils Diederich, a politics professor in Berlin.
But Ms. Merkel’s record suggests a less adventurous course.But Ms. Merkel’s record suggests a less adventurous course.
At home, there is plenty of unfinished business: her move away from nuclear energy is floundering; education needs money and reform; roads, railways, canals and the Internet demand attention; the population is aging rapidly — every third voter is over 60 and there are 20 million pensioners in a nation of 82 million; immigrants, needed as workers, are seeking better integration.At home, there is plenty of unfinished business: her move away from nuclear energy is floundering; education needs money and reform; roads, railways, canals and the Internet demand attention; the population is aging rapidly — every third voter is over 60 and there are 20 million pensioners in a nation of 82 million; immigrants, needed as workers, are seeking better integration.
These problems have accumulated in part because Ms. Merkel had to spend so much of her second term on the euro crisis. “There has to be a shift back toward tackling the domestic issues,” said Guntram B. Wolff, the director of Breugel, a policy research organization in Brussels. These problems have accumulated in part because Ms. Merkel had to spend so much of her second term on the euro crisis. “There has to be a shift back toward tackling the domestic issues,” said Guntram B. Wolff, the director of Bruegel, a policy research organization in Brussels.
But he lamented “a lack of ambition in the economic reform area” in the coalition’s program and a sense of complacency in Germany.But he lamented “a lack of ambition in the economic reform area” in the coalition’s program and a sense of complacency in Germany.
“There is a wrong sense of, ‘Yes, we have mastered the challenges of our times, and we are the greatest,’ without accepting that these kinds of things can change rather quickly,” Mr. Wolff said.“There is a wrong sense of, ‘Yes, we have mastered the challenges of our times, and we are the greatest,’ without accepting that these kinds of things can change rather quickly,” Mr. Wolff said.
Perhaps the most immediate challenge in the 28-nation European Union is political, in the shape of next May’s elections to the European Parliament, the only directly elected body in Europe’s maze of governing structures.Perhaps the most immediate challenge in the 28-nation European Union is political, in the shape of next May’s elections to the European Parliament, the only directly elected body in Europe’s maze of governing structures.
Right-wing, anti-European Union populists like Marine Le Pen in France and Geert Wilders in the Netherlands threaten to make common cause, essentially using elections designed to bolster European unity to undo it. In Germany, the anti-euro Alliance for Germany, which just failed in September to make it into Parliament, is thought certain to clear the 3 percent hurdle for the European legislature.Right-wing, anti-European Union populists like Marine Le Pen in France and Geert Wilders in the Netherlands threaten to make common cause, essentially using elections designed to bolster European unity to undo it. In Germany, the anti-euro Alliance for Germany, which just failed in September to make it into Parliament, is thought certain to clear the 3 percent hurdle for the European legislature.
“It cannot be in the interest of the German government to have the Parliament turn anti-European,” Professor Fratscher said. He said Ms. Merkel should explode the prevailing popular narrative here of Germany as paymaster, taking huge risks for the rest of spendthrift Europe. “It cannot be in the interest of the German government to have the Parliament turn anti-European,” Professor Fratzscher said. He said Ms. Merkel should explode the prevailing popular narrative here of Germany as paymaster, taking huge risks for the rest of spendthrift Europe.
The euro has benefited Germany, he said, undervaluing German exports and keeping interest rates low while German banks recover the money that they lent to southern Europe in the boom years and the nation’s tax coffers bulge.The euro has benefited Germany, he said, undervaluing German exports and keeping interest rates low while German banks recover the money that they lent to southern Europe in the boom years and the nation’s tax coffers bulge.

This article has been revised to reflect the following correction:

Correction: December 16, 2013

An earlier version of this article described incorrectly a proposal to change the retirement age for workers with 45 years of social security contributions. The age is to be lowered to 63, not raised to 63. Also, the name of the policy research organization in Brussels was misspelled. It is Bruegel, not Breugel.