The myth of Irish pluck continues today, even amid the financial crisis. Prime Minister Enda Kenny recently graced the cover of Time magazine. But according to data from the International Monetary Fund, Ireland has displaced Japan as the world's most indebted economy. Government, household and nonfinancial company debt add up to 524% of Irish GDP. (The Central Bank of Ireland uses a different basis for calculating the debt of nonfinancial firms; its estimate for total debt would be lower than the IMF's.) Funding this gargantuan load at an average cost of 4.5% would swallow nearly 24% of GDPin other words, Ireland's entire industrial output.
So while Time magazine and others eulogize the plucky leader of the Irish people, the truth is that Enda Kenny leads a Vichy governmentcaptive externally to creditors that still insist on loading bank debt onto the sovereign, and internally to a tribe of insiders led by union godfathers in a deal that protects the government's own excessive pay and pensions while bankers lean over its shoulders to rewrite insolvency laws.
This isn't just crony capitalism. It's crony democracy.
I'm no Eddie Hobbs fan.
However I think he makes valid points and I find it hard to disagree with what he says.
We are fubar'd and it is not getting any better. Worse, nobody it trying to make it better, the mi féin-ers of Irish political life are wholly preoccupied with protecting their own little fiefdom and cannot see beyond the next election.
People seem to think we are making progress, we are not, it is getting worse!!!
Every person on this island should read this article.
Eddie Hobbs: Don't Expect a Celtic Comeback - WSJ.com
I am surprised this has not made a blip on the p.ie radar