But that is exactly what is happening now. And you demand that Ireland thanks its european partners by defaulting on her debt. That model can't work.

What is necessary, if it is necessary, is a new deal about the interest rate. But that is not the same as  a default on sovereign debt engineered to hit only foreigners.

And am not sure why you want to argue about german economic policies 2008-2010: Clearly fiscal expansion, reaching their height in the first half of 2010. Is that really in doubt anymore?

This whole Ireland is insolvent meme is nonsense. There have be quite a number of countries with a public debt around 100% of gdp.