New Managing Director Christine Lagarde s recent call for forced recapitalization of Europe s bankrupt banking system is a good start.

Sometimes, the government must provide additional funds sometimes it looks for a new investor to take over the failed bank.

Moreover, the Japanese government, while rejecting a further appeal from Ishihara to provide land on the isles to the Tokyo municipality, is, however, raising money to purchase some of the islands from their supposedly bankrupt Japanese owner.

As late as this past May, the FDP defended the ownership rights of US billionaire Christopher Flowers, a major stockholder in the failed German bank Hypo Real Estate, which was saved from oblivion by state guarantees worth more than 100 billion of taxpayers money.

ATHENS The point of restructuring debt is to reduce the volume of new loans needed to salvage an insolvent entity. Creditors offer debt relief to get more value back and to extend as little new finance to the insolvent entity as possible.