No the argument is that Germans should not have to pay the profits people made by putting their money into (indirectly) into high risk investments.
Cyprus Banks paid outrages interest rates compared to other European banks. Due to their high risk investments and all depositors provided from this.
Why should German Taxpayers pay this?
Nobody here in Germany says Cyprus should not be bailed out, everyone here knows that this is necessary and important.
But Germany can't just bailout everyone. You are aware that Germany doesn't have this money. We have to lend it ourself and pay interests on it.
It has to hurt the people who provided from this mess, too.
1. correct! if you deposited money into a bank that takes stupid risk like lending money to countries that cannot repay, than you should loose money, and not expect that someone will save you. ok, deposits below 100k should be exempt as they are deposited by large number of not so well off people. and indeed they are.
2. correct!
3. German or any other taxpayer should not pay for this!! correct again!
4. If nobody in Germany is saying Cyprus should not be bailed out than shame on you. Cyprus banks in trouble should not be bailed out, except perhaps by people of Cyprus.
5. People who created this mess are, and please I will elaborate, Germans! How? By developing Euro currency, forcing, one way or other, forcing others to adopt it, then controling money supply via ECB dominated by Germans, and ultimately allowing other nations to take on absurd levels of credit, again provided by German banks which have huge surpluses of money generated by German economy exporting products to other Euro EU countries.
I could go even further but this should suffice.