Twenty years ago, the euro replaced national currencies such as the German mark, the lira and the franc as cash. In a new series, the SZ explains why the euro was controversial among economists and which crises the common currency had to survive. You can find all articles on this overview page.
It’s one of those things with nicknames. You can’t choose them and once they’re in circulation, you can’t get rid of them anytime soon. That was also the case with the euro 20 years ago. Even before it was even allowed to be used as a means of payment, it was nicknamed “Teuro”. This is what a cabaret artist called him when the first Euro starter kits were distributed with great fanfare in Frankfurt in December 2001. According to reports at the time, the audience present should have eagerly applauded the not particularly original new words.
The cabaret artist was probably not the first to call the euro that, and he was definitely not the last. Even today people still talk about the expensive euro, especially if they grew up with the D-Mark. Everything used to be better – and cheaper!
But is that really true?
Two virtual morning purchases with the euro starter kit can provide a few answers, one 20 years ago after the introduction of the euro and one today. How far did you get with the 10.23 euros divided into 20 coins and how far would you get with it now?
If you get up in time, you can still have breakfast in peace. Even on the way to the bakery, it is noticeable how much prices have risen since the introduction of the euro. In 2002 you paid around 50 cents for two rolls, today it is at least 80 cents. If you take a large daily newspaper with you, you have to put another 3.10 euros more on the coin tray (2002: 1.30 euros).
On the way back from the bakery, you notice that the refrigerator at home is pretty empty. Quickly to the discounter to buy at least the bare minimum. With a price of around 1.50 euros, a pack of butter costs almost 50 percent more than it did when the euro was introduced. In contrast, milk has remained fairly stable at 70 to 80 cents per liter for the last 20 years.
Fortunately, you still have the pack of coffee in your cupboard, otherwise you would have used up your Euro starter kit before breakfast. After all, half a kilo of coffee beans is also fairly stable in price with an increase from around four euros to around 4.50 euros.
When driving to work, you have to go a step further
Damn! Now you’re late enough to be able to cycle to work in a relaxed manner. Better to take the train. You have to go a little further here nowadays. In 2002 a single trip with the Munich public transport company cost just two euros, it is now 3.50 euros, almost twice as much.
In today’s imaginary starter kit there are only three sad coins, a 20, a two and a one cent piece. Almost nothing can be bought with this amount. 20 years ago, on the other hand, you would have paid only 5.60 euros for the meager breakfast, the newspaper and the trip to work, and with today’s prices there would have been enough money left over to meet up with colleagues for a beer after work.
Even today you would still get applause if you were to rail against the Teuro. In addition to the increase in the price of many everyday goods and services, the truth also includes another value that shows that the nickname also does the euro an injustice: the gross monthly income. That rose from an average of 2175 euros (2002) by at least 42 percent to 3095 euros per month in 2020. Or, to put it another way: a lot was cheaper in the past, but you simply had less money in your pocket.