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crisis-driven entanglement in banks and business.<br />

How far <strong>the</strong> conservatives will allow <strong>the</strong> FDP to tug <strong>the</strong>m is an open question. The CDU also favours tax<br />

cuts, though it seems in less of a hurry. Both parties are accused of making pie-in-<strong>the</strong>-sky promises, since<br />

<strong>the</strong>y also insist that <strong>the</strong> budget deficit must be cut. The best cure for deficits is growth, retorts <strong>the</strong> FDP;<br />

that will not happen without tax cuts. As <strong>the</strong> campaign heats up, Ms Merkel will probably shy away from<br />

<strong>the</strong> FDP’s radical ideas. Mr Westerwelle’s task will be to change her mind if and when he joins her cabinet.<br />

Copyright © 2009 The Economist Newspaper and The Economist Group. All rights reserved.<br />

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