As ZH has reported [4] time and time again, the natural signals that the market can send indicating that something is wrong have been corrupted. In this video, Philipp Bagus explains that Spain's use of the Euro currency has led to them being able to spend & spend, accumulating so much public debt without any real consequences. Now they are beholden to the Germans (see: Greece). He also touches on how Target2 [5] is just a bailout for insolvent countries, masking deposit outflows [6] as central banks print more to recapitalize their banks.
"the signal that something is going wrong, would have occurred much, much earlier"
"through the euro you get monetary redistribution, real resources from outside to finance your import surplus. Then, you can have more government spending than otherwise."
*1 minute into the video