The German Parliament's vote to approve expansion of the European bailout fund does not solve the continent's debt woes but it is a vital step forward. Every one of the 17 countries that uses the euro must approve the agreement and several have already voiced opposition. They are most likely to swallow their complaints, however, and back the deal since the consequences of its collapse are potentially catastrophic. The real problem is that this is likely only a stopgap measure and a comprehensive solution is still a long way off.

The problem in Europe is simple. Countries have lived beyond their means. Governments have made expensive promises to citizens and funded them with future promises to pay. When the U.S. economy crashed in 2008, creditors and markets started looking hard at debt held by European governments, did the math and realized that the numbers did not add up. Governments were not taking in sufficient revenue to pay for those promises.

There have been two problems as governments have struggled to deal with the crisis. First, the scale of the adjustment has been wrenching, far beyond the level of what any voting public is prepared to support. Demonstrations are a daily event in Greece — where the pain is most acute and the risk of default most immediate — but other European nations have witnessed protests as well.