Following up on the post immediately below.
From the Telegraph's Debt Crisis Live blog:
The Bundesbank said:
The challenges that this would create for the euro area and Germany would be considerable but manageable given prudent crisis management.
By contrast, a significant dilution of existing agreements and treaties and strongly weaken incentives for national reform and consolidation measures. In such circumstances the institutional status quo comprising liability, control and individual responsibility of members states would be fundamentally called into question.MORE