A debt transfer of up to 60% would stabilise the crisis. But it should be to Eurobonds held by the ECB rather than an untried new institution and does not need either buy-outs or national guarantees .
If the state of American financial reform is unfinished and courting the next crisis, the view from Europe is even worse. Europe is bifurcating into chronic creditors and chronic debtors.
The non elected decisional centre of E U believes that inflation is either the real threat or the very instrument to get growth. It is a fake policy and European citizens should demand some form of democratic control over nor elected public figures.
It would be preferable either a clear statement that euro countries do not allow a default of a member country , or an immediate debt restructuring, while the EU policy of “buying time” gives room to speculative attacks.
