Marshall Auerback Explains (Again) How to Save the Euro..
The proposal is for the ECB to create and then distribute trillions of euros annually to the national governments on a per capita basis. The per capita criterion means that it is neither a targeted bailout nor a reward for bad behavior. In fact, as the largest economy, Germany would get the largest distribution of euros from the ECB. This distribution would immediately adjust national government debt ratios downward, which eases credit fears without triggering additional national government spending. [...]