http://www.bloomberg.com/news/artic...ghi-s-euro-nearer-reverse-as-solidarity-fades
"There is a tension in Europe between those, like Wyplosz, who see the need for an unambiguous lender of last resort, and those, such as Issing, who prefer a community of the self-reliant adhering to jointly-agreed rules."
"“The idea was to create an irrevocable monetary union that once you’re in, it’s forever,” said Charles Wyplosz, professor of economics at the Graduate Institute of International and Development Studies in Geneva. “The permanence is very much in doubt, especially because you really don’t have a lender of last resort. Under certain circumstances, the central bank can drop you.”
“The illusion was and is that having joined the euro, it is irreversible,” said Otmar Issing, the German who in 1998 became the central bank’s first chief economist. “Mutual trust is certainly not there any more and it will be very difficult to restore it.”
"Issing argues that if Greece exits, other countries will have to pull themselves together to make sure it doesn’t happen again. He represents the school of thought, echoed by German finance minister Wolfgang Schaeuble, that says the
greater danger to the euro is the loss of credibility should the bloc bend its rules too much."
“If the Greeks can get away with the violation of all promises, commitments, then I think it will have a contagion effect on other countries,” Issing said. “Then we’ll be entering into a monetary union very different from what was intended. It will be the end of the zone of fiscal solidity.”
Prize Winning Economist Paul Krugman urges Greece to vote no in the referendum:
http://www.huffingtonpost.com/2015/06/29/krugman-greek-bailout_n_7687960.html
"I would vote no, for two reasons. First, much as the prospect of euro exit frightens everyone — me included — the troika is now effectively demanding that the policy regime of the past five years be continued indefinitely. Where is the hope in that? Maybe, just maybe, the willingness to leave will inspire a rethink, although probably not. But even so, devaluation couldn’t create that much more chaos than already exists, and would pave the way for eventual recovery, just as it has in many other times and places. Greece is not that different.
Second, the political implications of a yes vote would be deeply troubling. The troika clearly did a reverse Corleone — they made Tsipras an offer he can’t accept, and presumably did this knowingly. So the ultimatum was, in effect, a move to replace the Greek government. And even if you don’t like Syriza, that has to be disturbing for anyone who believes in European ideals."
They won't choose that, though...they'll blink, just like the Scots.