World: A LARGER WEST GERMANY AND A SMALLER FRANCE

As the monetary crisis abated last week, European statesmen were pleasantly surprised at the relative mildness of its immediate economic after effects. Thanks mainly to France's severe austerity program, the franc regained some of its strength, and the free world's finely balanced monetary system was spared, at least for the moment, a major upheaval (see BUSINESS). But the political consequences of the crisis continued to reverberate in half a dozen capitals, The West Germans had defended the Deutsche Mark against the combined efforts of France, Britain and the U.S. to bring about the mark's upward revaluation, a move that would have...