They must be, we\’ve got two entirely opposite proposals out there about the debts.
The plan splits the public debts of EMU states. Anything up to the Maastricht limit of 60pc of GDP would remain sovereign. Anything over 60pc would be transfered gradually into the redemption fund. This would be covered by joint bonds.
It\’s only a couple of days ago that someone was floating the red/blue plan, in which the under 60% of GDP bonds became joint while the over 60% remained sovereign.
They\’ve still really not grapsed the basic problems, have they?
In the short term you\’ve got plummetting money supply in the southern nations. This is not necessary but is sufficient for deep recession.
In the longer term you\’ve the basic comepetiveness problem. Neither of these will be solved by dicking about with who guarantees the bonds.