Germany is damaging the European economy. The answer? Raise German wages | Maximilian Krahe and David Adler

Because Germany imports so little, other countries go into debt to pay for its exports. Higher pay could turn this around

Earlier this month, at a large gala hall in Berlin, the European Central Bank's president, Christine Lagarde, presented Wolfgang Schiuble - the former German minister of finance - with the Ehren-Victoria award for outstanding achievements in challenging times. "Few have done so much for Europe and the euro. His commitment, rigour and statesmanship are a source of inspiration," Lagarde later tweeted.

Such is the dominant image of Germany: the rock holding fast in the high seas of global economic turmoil and southern European fiscal mismanagement.

The surpluses, the official line goes, are simply driven by success of private German companies

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