In the same way as after "The Big One" Earthquake along the San Andreas Fault everything East of it, from the Rocky Mountains to New York City, sinks - Germany will leave the Euro. It may take a few small economies with it but France, Italy, Spain and the rest of them will be left floundering in Euro mire. Belgium, Hungary and Austria are about to admit defeat any day now. Angela is fervently denying she's riding that horse into town - all the more reason to believe she will. By extracting Germany it takes the Euro off the equivalent of a Gold Standard and immediately allows for it's devaluation. This will solve nothing for those left in it other than not have Germany tell them what to do. Brilliant!
The Euro is saved - pro tempore - somehow the beleaguered remnants have to come up with about half a trillion in new money a year for the indefinite future to save their rotten banks - even Binary Fission wouldn't suffice. As the ECB will have gone back to being the Bundesbank they'll have to open another central bank rapido, presto, tout suite to run the printing press.
Meanwhile the population of the remaining Eurozone take to the streets in an anti-austerity avalanche of protest and a bunch of Fascists get elected. All non-citizens are thrown out. The Deutschmark becomes the new reserve currency, forms a fiscal union with Switzerland, Lichtenstein and the Cayman Islands - the City of London empties and moves to Frankfurt. The pound overvalues against the Euro and everybody in Britain goes shopping in France and the Republic of Ireland - the UK borrows money from the Germans to survive under a deal where the Bundesbank runs Britain - ex-servicemen storm the Houses of Parliament - Chancellor of the Exchequer beaten to death with Zimmer frame. The USA foolishly pegs the Dollar to the Deutschmark in an attempt to keep oil priced in US Dollars, goes into a Depression and invades the usual suspects and several unsuspecting countries - they elect a Montana Militiaman as President and the Capitol is moved to a small shack near Helena. The Middle East falls apart. The Taliban invades Pakistan causing a war with India and China buys Africa when nobody is looking. The UN moves to Beijing and Israel is thrown out. The Greeks find oil. There is an Influenza pandemic started by a sick chicken in Baluchistan, due to a lack of funds a third of the world's population dies. Notts County win the FA Cup.
Is this something like the solution you are suggesting?
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