I think that the euro will survive (and, I suspect, so does the market, which is why the euro continues to remain quite strong). I would prefer more restructuring and less ECB buying, so I think that the ECB is doing the best job of the major central banks at the moment. K: Thank you again for your response. In your original message, it sounded like you were making the (often-heard) claim that financial markets do not need any regulation, because they are inherently efficient, equilibrium-seeking, and self-correcting, and regulations just create distortions and rent-seeking opportunities. But in your most recent message, it sounds like you are acknowledging that financial markets are prone to market failures. But you argue that this is okay, because your new monetary system limits the damage. First, aggregate demand will no longer be affected. (There can be no such thing as `flight to security'). Second, ordinary people will no longer have any legitimate reason to trade in financial assets, since their money itself is a high-quality bundle of such assets. If they insist on playing with fire, then they can't complain about getting burned. This may be so. I will have to think a bit more about whether your proposal really contains the fallout from financial meltdowns. But it certainly sounds promising. One issue which I think your model does not address: since the supposed purpose of financial markets is to allocate resources in the real economy, inefficiencies in financial markets can translate into inefficient