Argument: European Monetary Fund would encourage fiscal irresponsibility
"A European Monetary Fund." BBC. March 2010: "A fund could be seen by some countries as a ready-made bail-out facility. It was a doubt raised by Juergen Stark, a member of the top executive committee of the European Central Bank. He said it would create a perverse incentive for countries not to clean up their balance sheets properly. 'Every country is accountable for its public finances and therefore its debt,' he told a German newspaper. 'It would be the start for a system of financial compensation that could become very expensive, set the wrong incentives and finally be a burden for countries with solid public finances.'"
Joseph Gokhale. "Forget The European Monetary Fund." Forbes. March 2010: "the creation of such a fund would create a "moral hazard" much like the IMF already does with its now expanded ability to provide economic assistance to countries facing exchange rate or debt crises. The possibility and increased expectations of bailouts by a new EMF would promote more, not less, fiscal profligacy by the Greeces of the world."