Should Ireland have a Department of Economics?

asknoquestions

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Would it not make sense to separate out medium to long term financial planning from the finance department? If there had been an economics department in place over the past few years it might have been able to spot that the tax base was unsustainable and that government spending was out of control. The finance department already has a huge amount of responsibilities including tax collection and distribution, treasury function, bank regulation, bank management, NAMA, etc. etc.

Plus, it would give Richard Bruton something to do...
 


sandar

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most countries should dividce the depaRTMENT OF FINANCE into 2.
one for macro economics and fiscal policy, one for micro and monetray policy
 

wombat

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Would it not make sense to separate out medium to long term financial planning from the finance department? ...
Back in the 70's, there was such a minister called Martin O'Donoghue, the result was the 80's
 

culmore

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There should be and with R Bruton in charge no matter who is in government
 

dresden8

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There should be and with R Bruton in charge no matter who is in government
Richard ain't so good at the counting.

Anyway, the problem is that these matters are politically influenced. Government "Advisors" run these departments.

Any new department will also be run by these self-same "Advisors".
 

wombat

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Any new department will also be run by these self-same "Advisors".
Not sure that would apply if Bruton was in charge - not according to George Lee anyway:lol:
 

paddywhack

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There should be but who would run it. The current Govt front bench is made up of teachers (6) & solicitors/ barristers. If I am not mistaken there is not one person with an economic or accountancy qualification among our senior ministers.
What do teachers know about running anything outside the classroom? I am sick listening to Hannafin talking to us like we are pupils in her class telling us she knows what's best for us. It's no wonder the country is in a mess and getting worse by the day.
 

Cassandra Syndrome

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Switzerland has the best democracy in the world. They have 7 main departments with subgenres below them integrated and merged to minimise cost. 2 of the 7 departments are for economics and finance. 1 Specifically for Finance the other for Economics.

The heads of each of these 7 main departments take it in turns to be "leader" of the state for 1 year only. Switzerland does not have a President living in a fancy pants Palace. It is deemed to be costly, futile exercise. The leader and other 6 heads do not have state cars are armed police, they live in their own homes out of their own expenses. They each receive €265,000 salary but no expenses or benefits after that and feckit, they earned it, the country's unemployment rate is 3.5%.

They 7 heads are elected either every 2 years or 4 years. All 7 departments are represented by the 4 main parties, which are socialist left, conservative centre christian, right wing conservatives and finally classic libertarian. A perfect mix to keep all walks of life happy)

So in answer to the OP it is invaluable to have a separate department for economics. We should also merge all of our departments into 7 and eliminate all the deadweight loss expenditure such as quangos etc.

If done right we could have our total expenditure down to €40 Billion from €65 Billion without hurting the poor, vulnerable and needy.
 

rockofcashel

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Yes we should have, or rather we should have an economic council similar to the German Council of Economics, which is independent but advises the German Government on Economic Matters

[ame="http://en.wikipedia.org/wiki/German_Council_of_Economic_Experts"]German Council of Economic Experts - Wikipedia, the free encyclopedia[/ame]

The problem in Ireland is, that we have the ESRI which tries to basically do the same job, but is routinely ignored by the Government, simply because "economics and politics" don't mix.

So what would be the point of creating what in effect would be another quango, only to have its recommendations completely ignored by Government ?

For example, there is a cast iron economic case for a water tax ..

It is a marketable commodity

It costs money to provide

Taxation would encourage efficient use

But, it's a political minefield.... so politicians will ignore the relative merits of any discussion which revolves around its implementation
 

rockofcashel

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Switzerland has the best democracy in the world. They have 7 main departments with subgenres below them integrated and merged to minimise cost. 2 of the 7 departments are for economics and finance. 1 Specifically for Finance the other for Economics.

The heads of each of these 7 main departments take it in turns to be "leader" of the state for 1 year only. Switzerland does not have a President living in a fancy pants Palace. It is deemed to be costly, futile exercise. The leader and other 6 heads do not have state cars are armed police, they live in their own homes out of their own expenses. They each receive €265,000 salary but no expenses or benefits after that and feckit, they earned it, the country's unemployment rate is 3.5%.

They 7 heads are elected either every 2 years or 4 years. All 7 departments are represented by the 4 main parties, which are socialist left, conservative centre christian, right wing conservatives and finally classic libertarian. A perfect mix to keep all walks of life happy)

So in answer to the OP it is invaluable to have a separate department for economics. We should also merge all of our departments into 7 and eliminate all the deadweight loss expenditure such as quangos etc.

If done right we could have our total expenditure down to €40 Billion from €65 Billion without hurting the poor, vulnerable and needy.
Switzerland also has excellent local democratic institutions
 

atlantic

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hopefully we wouldn't fill with the crowd,that couldn't see the disaster which was the CT .
If government are allow to pick them ,they will employ mad state spending ,indoctrinated keynesians ,Krugman clones.
Would it not make sense to separate out medium to long term financial planning from the finance department? If there had been an economics department in place over the past few years it might have been able to spot that the tax base was unsustainable and that government spending was out of control. The finance department already has a huge amount of responsibilities including tax collection and distribution, treasury function, bank regulation, bank management, NAMA, etc. etc.

Plus, it would give Richard Bruton something to do...
 

oggy

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Back in the 70's, there was such a minister called Martin O'Donoghue, the result was the 80's
Going too far to blame Martin on the 80's but spending your way out of then problems was not the smartest thing to do. Its amusing, thats exactly what the ABFF want to do now !
 

Tim Johnston

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Hm. I'm not sure subordinating economics to the whims of government is the best idea. Not that it isn't already abused in such a way but think tanks are the way forward. Their independence makes their advice more valuable. Plus you'll never find two economists who agree with each other.....
 


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