Here's where I think we are: Anything Greece would consider fair, Germany would consider unacceptable, and anything Germany would consider fair, Greece would consider unacceptable. There is no place where their positions can meet.
Asking for a referendum is clever. He's going to get the Greek public to share the blame for the consequences of what comes. But notice the words he uses when he places it before the voters. He's asking them to reject the bailout terms.
That struck me as well, but I wonder if perhaps he's not really allowed to reject the terms himself?
Critically, by having the people reject the terms he is not going to be labelled a sellout in domestic voters' eyes and thus will retain a chance at an additional political term.
Fascinating that one of the problems is that the Greeks want to increase taxes too much. And the creditors who have imposed austerity are worried it might affect growth!
When you say “No one country in a currency union can endlessly spend money at the cost of the others” then you have to do exactly what you imply, otherwise yes they will keep on spending money. So now it's too late for referendum or whatever.
As a side note, I have friends with the finger on the trigger to sell "everything" hellas and euro related. Enjoy EUR/USD
Asking for a referendum is clever. He's going to get the Greek public to share the blame for the consequences of what comes. But notice the words he uses when he places it before the voters. He's asking them to reject the bailout terms.