European debt crisis: leaders ponder fiscal union

"This may not be politically feasible," says Charles Grant, director of the Centre for European Reform think-tank. "A fiscal union and eurobonds could help, but it will mean the southern countries giving up economic sovereignty. Berlin could destroy the euro if it goes on like this. "Its over-zealous discipline and austerity medicine is not going to work. Besides all this economic government stuff is irrelevant to the euro crisis. It's now a crisis of growth, of banking, with liquidity drying up. … Greece can always choose to leave … As long as all this is between freely consenting adults, it's not that undemocratic."