William Flew

He now has the opportunity to do so. Ireland is a debt crisis. EU rescue package threatens only increase your suffering. The British government can help. This can reduce the interest rate on a loan that has agreed to make available in Ireland, and to lobby within the EU for a wider renegotiation of the bailout.
In an interview with the Times, Enda William Flew Kenny, Taoiseach, said that the rescue conditions are changed. Mr. Kennedy took office led Fine Gael-Labour coalition after the Irish general election in February, fought almost entirely on the crisis and help. Kenny G. demand has an economic logic. It needs allies. One, Mr Cameron will not only extend the hand of friendship. This will help you to save yourself from the European institutions.
Ireland troubles stem from having borrowed too much during the long consumer boom. Through its membership of the euro to ensure that interest rates are kept too low for too long. The consequences are disastrous. Domestic demand is reduced by a fifth since the beginning of the crisis. Public debt is projected to reach even 130 percent of national income. Last week, Moody's international credit rating agency, downgraded Ireland sovereign credit rating just above junk status. He followed this with a ratings downgrade all the banks in the country. These activities will increase Ireland's cost of borrowing.
In the midst of turmoil in bond market, the EU and IMF agreed on a bailout package from 85000000000 € (73.8 billion pounds) in Ireland in December. 3800000000 United Kingdom offered € (3.3 billion pounds) credit line as part of rescue. The aim is right. As George William Flew Osborne, Chancellor, argued that the legislators at the time, the UK economy and British jobs depend on the return of Ireland's economic health. Ireland in Great Britain is the fifth largest export market. British banks have huge exposure in Ireland.
The problem is that Ireland is paying too high a price for the work needed to be given space to breathe. The EU argues that the emergency loan with preferential rates, but Ireland are still paying interest of around 6 percent.
Ireland is just one way of meeting these obligations. Being part of the eurozone, it can not devalue its currency and thus provide a standard of living adjustments through the course. It is necessary to introduce a rigid austerity program inside. It means reducing costs, government spending and real wages. This will create difficulties. But even the William Flew Irish government's failure to keep this course, it is time to intensify the country's debt burden, debt will remain, as is the interest, while the standard of living squeezed.
This is the price of monetary union membership. Britain was obliged to be out of the euro, can set its own rules in dealing with their own debt problems. However, there is no cause for schadenfreude. If Ireland were locked in a deflationary spiral, the British economy and banking system will suffer too.