Eurobonds would create problems for Germany  The situation that is implemented in the Status Quo, with the Economic Stability Mechanism trying to save countries in collapse will no longer be an option after introducing Eurobonds. Previous arguments have explained how interest rates will not be lowered enough to make countries stable again but another problem is that they will inhibit any chance of a plan B.  First of all, Germany has low interest rates for its government bonds and had it this way in the last few years through the crisis. [1] This is allows them to take loans cheaply helping to sustain their manufacturing industry and government spending, and allowing Germany to finance bailouts. If Germany's borrowing costs rose to the Eurozone average, it could cost Berlin an extra €50bn a year in repayments – almost 2% of its GDP. [2] This will clearly impact on Berlin’s ability and willingness to contribute to the European Stability Mechanism with the knock on effect that if despite Eurobonds another bailout is needed it may not be possible to raise the funds to actually carry out that bailout.  Secondly, the Eurobonds create obvious winners and losers; Germany and other prudent nations such as Austria and Finland, as well as the slightly more profligate France will have to suffer the consequences of the economic crisis caused by other countries in the union; Greece, Ireland, Spain and Portugal. With higher interest rates they will need to engage in their own austerity campaigns to compensate which will affect economic growth and create discontent. Why should we punish Germany for the wrongdoing of other states?  [1] Bloomberg, ‘Rates &amp; Bonds’, accessed 15 October 2013,   [2] Inman, Philip, ‘Eurobonds: an essential guide’, theguardian.com, 24 May 2012,