I believe the debt/GDP ratio was over 100% in the 80’s alright but Ireland had much more room to manouevre back then ie it could devalue the punt and had control of its own interest rates.
The introduction of the Euro was a disastrous move for this country. It was nothing more than a political vanity project. Nice idea, disaster in practice.
The amount of private household debt is way bigger than back then as well. Mortgages, credit card debt etc. Half the country is up to their neck in it. People will not spend.
They would be better off spending it now because soon hyper inflation will take hold and the ECB will be issuing 1 million euro notes to cover the cost of a sliced pan.
Your comment about the Euro is utter, total and complete shit Sid, we would be fucked ALTOGETHER but for the EU. Great point about the personal debt something that isn’t getting half enough coverage.
Not quite Turfcutter. The Euro allowed Ireland to rack up cheap and excess personal debt. Not being in the Euro would enable us to devalue our way out of a hole. But no doubt our Euro brothers will ride in to the rescue any day now.
As far as I can see if we hadn’t gone into the euro we would not be in the state we are in but we would not have had the superstar economy we had but we would still be in recession and leaving the euro now would be utter madness. Yea we will be off cap in hand to Brussels any day now. The decision to enter the euro was correct one at the time. As regard the ‘‘easy’’ credit the UK and USA seem to have had the same issues and neither were in the euro we don’t seem to be hearing about the French and German public up to the necks in debt the Government has questions to answer for this as do the banks and the people themselves.
