The German Chancellor's comments were met with applause as she briefed MPs from the Free Democrats party, her junior coalition partner, at a private meeting on Tuesday.
One official told AP that the crowd "reacted with applause to hearing that the Chancellor does not want a joint debt liability," while one participant reportedly shouted: "We wish you a long life!"
Several eurozone leaders, including French President Francois Hollande and Italian Prime Minister Mario Monti have called for the 17-nation bloc to draw-up plans to issue jointly-guaranteed debt in order to reduce borrowing costs for struggling eurozone nations.
Yields on benchmark 10-year government debt are currently at 6.8pc in Spain, and 6.15pc in Italy. Long term borrowing costs above 6pc are widely viewed as unsustainable in the long term.
Ms Merkel this week played down expectations of a major shift in policy from Germany at the EU summit, which starts on Thursday, and repeated that eurozone bonds would be "economically wrong and counterproductive".
The Telegraph
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