Merkel's Political Capital in Germany and the Eurozone

After two crucial state election losses for parties in Germany's ruling coalition, German Foreign Minister Guido Westerwelle resigned as head of the Free Democratic Party (FDP) — the junior partner in the coalition — on April 3. German Chancellor Angela Merkel and her Christian Democratic Union/Christian Social Union-FDP government might see domestic support slipping, but the opposition lacks the strength to counter the coalition in parliament. Furthermore, Merkel's support for eurozone bailout mechanisms is unlikely to change, even though it is unpopular within Germany. However, Merkel will have less capability to go against public opinion if a new crisis emerges.