THE problem of Ireland is a more recent history of excesses, in this case of banks that grow well in excess of the gross national product, are financed externally and real estate and financial investments made unwise, within and outside the country. In the years preceding the crisis that is applauded for stimulating productive activity and creating employment, but when the value of these investments falls on bank balance sheets and lost the confidence of retail and wholesale customers, the problems begin.
The Government acted decisively, guaranteed deposits and set up a bank, the Nama, who took charge of impaired real estate assets. Allied Irish Banks like Bank of Ireland or are partially nationalized and others such as Anglo Irish, are having removed some of its bondholders for almost 80%. No action was wrong, but the crisis is teaching us that sometimes it's not a question of wanting but of power, and here the banks are too big for such a small country has to accept, finally, external public funding. When missing deposits and financing banks use the ECB, but it does not take much responsibility indefinitely. Bank debt affects the Irish public debt, and creates tensions in the European Union and the euro itself, but the EU has a fund of 750,000 million euros are still unused and the Central Bank's resources are in emergency, virtually unlimited. England and Sweden will also contribute because it affects them. There is no shame for a country to resort to financing from its partners, to be returned.
Ireland has a corporate tax of 12.5%, with which he has been able to attract investments that were unimaginable a few years ago. Hence the reluctance of the Government to accept funding comes with requirements to raise taxes to clean up public finances. I sympathize with that rate so low that it helps create business and employment, but it is clear that the disorderly growth of investment and financing, as happened with the residential and nonresidential construction has caused a serious problem for the system, now should be paid.
original is not the case in Ireland remember the classic play Synge: The Playboy of the West, where Christy, the protagonist becomes a hero by the need to delude people with something really out of his secular peasant Christy himself, before its ultimate failure, acquires sufficient stature to win between them. Synge, in the preface, says: "In Ireland, for years the popular imagination is bold, beautiful and tender, so the writers have something to do not have the spontaneity that live where local life has been forgotten, harvesting is only one memory, and the straw has become a brick. " It remains an irony that one hundred years after problems come not from modernity, as the country has a good industry innovation, high technology, but finance and real estate adventures. Gumersindo
The Government acted decisively, guaranteed deposits and set up a bank, the Nama, who took charge of impaired real estate assets. Allied Irish Banks like Bank of Ireland or are partially nationalized and others such as Anglo Irish, are having removed some of its bondholders for almost 80%. No action was wrong, but the crisis is teaching us that sometimes it's not a question of wanting but of power, and here the banks are too big for such a small country has to accept, finally, external public funding. When missing deposits and financing banks use the ECB, but it does not take much responsibility indefinitely. Bank debt affects the Irish public debt, and creates tensions in the European Union and the euro itself, but the EU has a fund of 750,000 million euros are still unused and the Central Bank's resources are in emergency, virtually unlimited. England and Sweden will also contribute because it affects them. There is no shame for a country to resort to financing from its partners, to be returned.
Ireland has a corporate tax of 12.5%, with which he has been able to attract investments that were unimaginable a few years ago. Hence the reluctance of the Government to accept funding comes with requirements to raise taxes to clean up public finances. I sympathize with that rate so low that it helps create business and employment, but it is clear that the disorderly growth of investment and financing, as happened with the residential and nonresidential construction has caused a serious problem for the system, now should be paid.
original is not the case in Ireland remember the classic play Synge: The Playboy of the West, where Christy, the protagonist becomes a hero by the need to delude people with something really out of his secular peasant Christy himself, before its ultimate failure, acquires sufficient stature to win between them. Synge, in the preface, says: "In Ireland, for years the popular imagination is bold, beautiful and tender, so the writers have something to do not have the spontaneity that live where local life has been forgotten, harvesting is only one memory, and the straw has become a brick. " It remains an irony that one hundred years after problems come not from modernity, as the country has a good industry innovation, high technology, but finance and real estate adventures. Gumersindo
Ruiz.
(Grupo Joly 23/11/2010)
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