Germans and French playing beggar-thy-neighbor hardball with smaller “allies”? I’m shocked. Shocked, I tell you. But at least they don’t blame the Irish for poisoning the wells or for Islamist terrorism.
Well at least on this subject, WRM thinks Paul Krugman is 100 percent right, not merely “half right.” His analysis of the genesis of the problems Ireland is facing and Krugman’s analysis are virtually identical.
One thing Professor Mead didn’t mention in his post is how Ireland’s problems are exacerbated by the fact that it uses the Euro. If instead of sharing its currency with 22 other nations, Ireland still had its own currency, it could have taken steps to devalue the Irish pound which would have at least cushioned some of the harshest economic consequences that it faces. Instead, Ireland is at the mercy of European central bankers, many of whom are German or French.
OT, but why don’t you write about the radiation hysteria that is now sweeping the world. As a news story it is in the same category as AGW alarmism: http://abcnews.go.com/Politics/us-send-special-nuclear-team-japan-nuclear-regulatory/story?id=13148044
Versus here: http://www.theregister.co.uk/2011/03/16/fukushima_wednesday/
There is a cussed streak in human nature. Extends to free trade theory among the intellectuals too! 🙂
Why don’t the Irish do what Iceland did — stiff ’em?
I would welcome another great transatlantic migration of Irish folk supported by our propereous and politically powerful Irish-American citizens.
Lá fheile padraig duit! (Happy St Patricks Day to you) Great article 🙂
The Irish through their own greed and stupidity made their bed and they can lie in it. Were I they I would tell the EU, the French and the Germans to take a flying……….at a rolling doughnut. Go back to the punt.
Why does Ireland just repudiate its earler guarantee of the Irish banking system? Is not that system owned by large non-Irish financial institutions?
Ireland should secede from the EU, replace the Euro with dollars, repudiate its foreign debts, and invite the USA to establish military bases to prevent the EU from sending in an occupation force.
I propose England bail out the Irish as partial atonement for the sins of the past.
It looks like as usual the crooks (in this case the bankers) got away. That’s the way it is with capitalism. Always has been, always will be.
All the more reason for the advanced industrial nations of the world get together and implement a graduated consumption tax, the first prerequisite of which is an end to secret bank and brokerage accounts in overseas tax havens.
As out problems are international, so must the solutions be. Rather than confiscatory taxation of the incomes of the super-wealthy — which the world knows will not work — let us tax their obscene levels of consumption instead, penalizing them not for what they put into the common pot but for what they take out.
Some of the proceeds could be used to bail out the Irish taxpayers and countless other hapless folks in similar situations, if not this time then in future times. Let the lenders beware.
“Rather than confiscatory taxation of the incomes of the super-wealthy — which the world knows will not work — let us tax their obscene levels of consumption instead, penalizing them not for what they put into the common pot but for what they take out.”
Luke, if they spent lots and lots of money, they wouldn’t be rich anymore. In fact, if you put high levels of taxation on their spending, they’d probably do even less consuming and even more investing, at which point they’d get *even richer*.
At which point they’d have less goods, but more *power* to buy and sell the rest of us by the pound.
Taking money away from a foolish rich person is practically a sacred calling, I think you’d agree; disincentivizing that sector of the economy is counterproductive in the extreme.
Uh, you accept bailouts from other governments, they get to use their leverage to their advantage. If the Irish had their economy in shape they wouldn’t have that problem, no?