Of course it isn't, the EU isn't going to let Goldman get favorable access to their treasury like Bernanke allows them, hell, if the EU goes ahead with this plan they'll be competitors to Goldman and the Fed., (i.e. the US-NRE's parasitic class). So it's absolutely not in Goldman's interest to recommend this plan.

Zero Hedge is wrong and Goldman is being highly disingenuous.  The EU has woken up and realized that the only way to compete in this global game of "rigged market capitalism and currency manipulation" is to do what Ben Bernanke has done. Create a level playing field where they get to fund their debt ponzi schemes as easily and quickly as the US-NRE's Bankster class.  Where they get to offer unlimited credit to their financial institutions so they can fairly battle the US-NRE's.

It's absolutely true of course that these policies won't work in the long run, (perhaps even the short run).  Expanding a fiat currency beyond the carrying capacity (the actual goods and services produced) of your economy never does, but it will SPOIL Bernanke's and Wall Street's greedy Bankster's advantage in leveraging the US-NRE's (and their) economic position higher using the US-NRE's reserve currency as the lever (just as the EU can now do) backed by a Central Bank which can issue bonds and swap assets around to hide as much risk as it sees fit. (something the EU CANNOT do....yet. Nor of course, should it).

However in the "long run" as one financial wit once said "we'll all be dead".  As will the EU if it doesn't halt the Banksters', now heavily armed with vast leverage by their lackeys in Washington DC, long planned series of coordinated financial attacks against the EU's countries.  And please, let no one pretend there's a "free market" out there.  What's being done to the EU is exactly what Enron did to California during the so-called "energy crisis".

So why not level the financial playing field, why should the EU remain unarmed and at the mercy of these financial predators.  Why would the EU allow itself to be forced to remain attached to that sinking vortex called the US-NRE's reserve currency? Why can't they FINALLY de-couple from the New Roman Empire? How could they in good conscience not defend themselves and their people against this sort of attack? No one should expect the EU  to just fold-up and let the IMF, the Banksters and Feds financially rape them as they have so many other "third world" countries during the last seventy years.

That would just be plain silly. - mpg

[Which is EXACTLY what Europe would want to do, distance themselves from the US-NRE's vortex of debt, defend their credit markets, punish those who participated in this coordinated attack (the TBTF US-NRE banks most likely), allow the Euro to drift lower in a controlled fashion and provide time for the piigs so they can get their fiscal houses in order (three to four years).  Keep in mind they've only committed a trillion so far, whereas Bernie and his boys have committed about thirty trillion to his Bankster friends]

"The mechanism for the bailout of Europe is the Fed's provision of dollar credit in virtually unlimited amounts via central bank swaps lines.....the Fed swap lines help the bankrupt nations of the EU ignore their mounting fiscal problems......Fed Chairman Ben Bernanke is engaged in a little geopolitical engineering in Europe -- and the people of the EU do not yet realize that a political change in control has occurred.... the leaders of Europe now find themselves beholden to the Fed for their continued political existence.... Chairman Bernanke and the FOMC have but to terminate the Fed's swap lines with the various central banks of Europe or start selling the MBS portfolio in the US, and governments from Washington to Berlin will start to fall." ("More fed swap Lines for Europe and the End of Globalization", Clifford Rossi,  Institutional Risk Analysis)" - bold by website editor