Comments on: Time for us to start singing from a different hymn sheet

By: John Rooney

John Rooney — Fri, 06 Feb 2009 15:43:01 +0000

David,
The euro is a big part of our problem, along with the fact that the world is running scared and that most economies are in recession or worse. For Finland and Sweden, the 90′s , though not easy, did not present the international woes that exist today.Recession in isolation is easier traded out of than in a global recession, as is the case now.
The advent of the euro brought many problems which seemed to be solutions at the time: the banks could borrow massive amounts within the single currency stability and at (then) very low interest rates. Our bankers and ‘regulators’ failed us at that time and we have been accumulating problems since. We needed stringent loan/credit criteria, but the traditional margins were used for analysis of repayment capacity, with no regard being paid to the effects of an interest rate spike. Something like a five – year moving average (with one eye on the future) should have been used as a basis for loan repayment-capacity evaluation, with a safety margin built in for fluctuations. We still need that now, or something similar.
Germany has a big responsibility in this.When they were labouring under re-unification economic problems, interest rates tumbled down. Amid the euphoria of joining the euro, no guidance was forthcoming for Irish bankers – who had never seen this scenario before – on dealing effectively with the interest rate differential. Last year, Germany was emerging from that, so interest rates jumped to please them.
I believe that something radical is needed, with some element of most suggestions currently being floated included: reducing public expenditure, cutting wages, improving our overall competitiveness internationally. I also believe that China needs to be excluded from free trade.The threat they pose to our economies which seems to include the de-industrialisation of the western world and the ambushing of our technology, training and markets is not adequately counter-balanced by what is simply a wave of cheap goods which, in the near future, we will not be able to afford anyway. It is only a matter of time until China tells the multi-nat
China is manipulating the value of their currency, keeping it artificially low, lending trillions of dollars to America, rather than allowing that money to filter into their economy, which would increase the demand for and value of their currency, and make their prices less attractive overseas.
It is time to adequately counter the threat posed by China, reversing free trade especially given that the natural effects which would lead to international balance are, because of China’s policies, not allowed to happen. Some say protectionism would not work. It will work better for us than for China. We need to look after ourselves. One thing for sure, China won’t do that for us.

By: John Judge

John Judge — Sat, 31 Jan 2009 14:53:51 +0000

Here’s an example of the sort of panic that could be caused by redtop economic sensationalism suggesting we should leave the euro.

http://www.askaboutmoney.com/showthread.php?t=103037

By: Willinator

Willinator — Fri, 30 Jan 2009 12:28:19 +0000

Ireland Government Debt Becomes Riskiest in Europe, CDS Show
Email | Print | A A A

By Abigail Moses

Jan. 30 (Bloomberg) — Ireland’s government debt became the riskiest in Europe, surpassing Greece’s sovereign bonds, according to credit-default swap prices.

Contracts on Ireland rose 2 basis points to 262.5, CMA Datavision prices show. Credit-default swaps on Greece’s debt fell to 251 basis points, from 255.

To contact the reporter on this story: Abigail Moses in London at amoses5@bloomberg.net

By: Pedro Nunez

Pedro Nunez — Fri, 30 Jan 2009 00:20:54 +0000

http://leftwingconspiracy.com/wp-content/uploads/2008/07/motivator8147698.jpg

By: Pedro Nunez

Pedro Nunez — Fri, 30 Jan 2009 00:13:53 +0000

Michael,
Trump ‘kicked ass’ but yet got his ass kicked too!
http://ecx.images-amazon.com/images/I/51ch-liBefL._SL160_SS160_.jpg

The maladministration of sick leave, ill-health pensions, injury grant schemes in the Irish Public service is huge. What proportion of the funds raised by these levies and taxes go in collection. Still ‘inadequate management blame doctors and GP’s for their own maladministration.

It costs 90p to administrate each £1 damages through tort in the courts and only 6% of victims recover through tort, yet recover 46% of the compensation payable from all sources. That’s another very expensive inefficient and ineffective system.

By: Brendan W.

Brendan W. — Wed, 28 Jan 2009 22:21:18 +0000

@ Tim , excellent you have gotten my full marks and compliments on your constructed prose here, have I got you thinking , I wonder.
Telling me and the room you are in FF is like the alcoholic standing up to introduce him self to the other Drunks. After working from within for over a decade you should be able to change something !.
I on principle today don’t pay insurance or road tax for my motor bike as last year with the summer I never took it out , nor do I pay a TV license as I don’t use sky and only badly pick up our national broadcasters and I hate Gerry Ryan, Gaybo, Pat ,Joe and the rest of the over paid entertainers.
In all the taxes and charges above you have left out The Lotto . You of course can change the system ,each individual here can change the way we are controlled but are you ready to be part of the populace by stepping up to the front to lead those that want to be taken for the ride.
We control our own future we are all revolting against something now the time is coming to focus these revolts on one basic vision . The modern western world today needs new leaders as our Moguls of the Bank Houses and Media Press are getting old. I would safely wager here the posters to this site or portal zone on the web, could fix the present problems this small rock of north Europe is having. We should all meet for David’s next Talk, ( while on principle I will not pay to hear him speak ) and I’ll ask Paddy Power to give me good odds.
Keep up the struggle

By: John ALLEN

John ALLEN — Wed, 28 Jan 2009 13:47:33 +0000

Poor Anna – You are in Denial

By: Anna

Anna — Wed, 28 Jan 2009 13:45:48 +0000

Well said. Sorry David, but getting out of the Euro makes no sense. We import expensive items like OIL how do we pay for this, with IRL 10000000 muds. Give us a break, the Euro is the only thing keeping us alive, bad as we have it. We never had any control over money matters, we are small fish, at least we are in a bigger club, which will in the long term help. We need some form of Big Brother on us, other wise we would have been more out of control then we are, hard to believe.
Stay in Europe and the Euro PLEASE!!!

By: coldblow

coldblow — Wed, 28 Jan 2009 13:06:15 +0000

“Convulsed in cognitive dissonance”. Nicely put. In the 30s they clung to the nostrums of fiscal rectitude or sought salvation in communism, nationalism and fascism.

By: Malcolm McClure

Malcolm McClure — Wed, 28 Jan 2009 11:19:56 +0000

MK1: Turning Ireland into a financial skip for the Eurozone is simply an extension of the role it has already adopted, to be a kind of financial ‘Las Vegas’ for the EC.

To be brutally honest about the matter, Ireland doesn’t have the right mentality to establish a proper industrial foundation for its economy;
whereas it has a perfectly evolved ‘Las Vegas’ mentality. Think of Cheltenham, Galway Races, The Sundance Kid, Paddy Power, Celtic Tiger housing boom, etc. —We are a nation of gamblers, not investors; of irregulars, not soldiers.

The other EC nations would pay us handsomely to make their present economic problems just ‘go away’. We would retain the old Euro and handle all its legacy transactions until all debts had expired or been paid off. Then, say in 10 or 15 years, we would return to the Super-euro fold as the sinner expiated.

Sure, its a risky strategy, but Dutch don’t seek out dykes when the visit Las Vegas.