Challenger: Merkel isolating Germany in Europe Associated Press Copyright 2012 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Updated 8:11 a.m., Sunday, December 9, 2012 BERLIN (AP) — Chancellor Angela Merkel's center-left challenger accused the German leader of isolating the country in Europe as he sought Sunday to kick-start his campaign for next year's elections, pledging to make social policy and promises of tougher financial regulation central issues. Merkel's conservatives lead polls, helped by the chancellor's personal popularity — itself bolstered by her hard-nosed approach to Europe's debt crisis. Taxes for top earners need to rise to finance spending on education, infrastructure and Germany's transition from nuclear to renewable energy, he said, while stressing that keeping down debt is essential.