This chapter discusses how Gerhard Schröder, leader of Germany's Social Democratic Party, proposed to delay the euro's birth rather than start with members who had not achieved the required fiscal discipline. Campaigning to replace Helmut Kohl as chancellor in March 1998, Schröder observed that some countries would struggle to survive the rigors of the monetary union. However, once Schröder was elected chancellor in October, his hands were tied. In April 1998, the Bundestag had already authorized Germany's shift from the deutsche mark to the euro, Germany had made commitments to its European partners, and preparation for launch of the euro was in full swing. Ultimately, the euro was born uneventfully on January 1, 1999. Schröder continued the narrative of Europe's eventual political awakening; he even called for greater European “political union.” To the contrary, Schröder quickly developed a confrontational relationship with European institutions.
