European Monetary Reform: A Plan for the Liquidation of Central Government Debt and the Financial Rehabilitation of the Eurozone

The key elements of the plan are to (1) monetize the Eurozone's central governments' debts for conversion into equity capital of banks' (Monetary Financial Institutions)' equity capital; (2) raise the MFIs' minimum reserve requirements on deposits; (3) divide MFIs into deposit taking institutions, and into lending institutions; (4) disband deposit insurance corporations. Austerity programs, crippling the economy, are both unnecessary and misconceived to rectify an anomaly, namely the governments inability to fund themselves by way of their constitutional money power, which was given to private commercial bankers for nothing in return. The anomaly can easily be corrected.