Fixing "Unsustainable" Rates in Spain/Italy: Subsidize Rates Instead of Buy Bonds #2

Since our post from yesterday we have been made aware of two similar proposals:

http://ftp.zew.de/pub/zew-docs/policybrief/pb01-12.pdf

http://www.voxeu.org/article/euro-coupons-mutualise-interest-payments-not-principal