Chancellor Merkel and her policymakers have been acting on the basis that Greece is an isolated case. Yet every reactive decision and feeble measure by Berlin increases the likelihood of a Greek tragedy becoming a Europe-wide one.
Europe does not require a new narrative. The only task in front of us is the defense of "never again." Our historical vision must expand to include another pastime of European states: debt-financed budgets.
Some brave economists have made it clear that we need a new International Monetary System, a "New Bretton Woods" sort of agreement in order to solve things in the long term. But still, what do we do with the existing debt crisis?