The Other McCain

"One should either write ruthlessly what one believes to be the truth, or else shut up." — Arthur Koestler

Debt Causes Collapse of Irish Government

Posted on | November 23, 2010 | 1 Comment

Something here I can’t quite put my finger on:

The Irish government faced imminent collapse on Monday, only a day after it signed off on a $100 billion bailout, setting the stage for a new election early next year and injecting the threat of political instability into a European financial crisis that already has markets on edge.
Confronted with high-level defections from his governing coalition, Prime Minister Brian Cowen said he would dissolve the government after passage of the country’s crucial 2011 budget early in December.
His announcement capped a grim day for Ireland, as protesters tried to storm the Parliament building in Dublin, and Moody’s Investors Service, the ratings agency, lowered the rating on Irish debt by several notches.

Hmmm. Deficit spending and a giant bailout leads to angry protests and “political instability” . . . Why does all this sound so familiar?

Category: Economics, Ireland

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