Modern economics is based on borrowing money. Simples.

I agree.
If the government can saddle us, our children, and their children with 42% of the debt of the Eurozone you’d imagine they’d be able to come up with a scheme whereby incompetence could be weeded out of the public sector within a week without the heavens falling in on all our heads eh??

@robinhilliard
They could start with the €650,000,000+ a year we give in “aid” to Africa.

Its €600m

To put it another way, 1.1% of government expenditure or 0.4% of the value of the economy.

Here both Barrels ….
this government when getting the Fiscal Treaty passed insured us that Bank Re-capitalisation was on the cards – it wasn’t and now has been abandoned , furthermore there was no sign of the Trichet letter before the Fiscal treaty – this deception in my book .
Also – We have lost voting power at Board level in the E.C.B. sine – this goes against every notion that one country one voice democracy of Europe ..
I think these vents will make it very easy for any New Government to hold a second referendum on the Fiscal Treaty …..
To make a decision is one thing thing – but to make a decision based on deception can never be legal !

I just don’t see how the government will manage to make up 8 billion and realisticly if we want to get out of this debt anytime soon we’d need a surplus which certainly isn’t going to happen.

@businesscat
So?

Farmerbogger,
so the bond sale at 0.87% was only propaganda? Was not real? The bond buyers didn’t exist?
Explain more.

Yes but you don’t pay tax on turnover, but rather profit. A 7billion tunover company may not be making a profit and as such does not pay tax. I do not condone tax avoidance, but it is legal and the onus is on governments to change the rules if they wish go eradicate it.

Let’s face it though Dermot, yes these companies don’t pay an awful lot of tax but they create a hell of a lot of direct and indirect employment, be it in related industries or just the deli worker who makes the lunch. All those people employed pay tax on their incomes which is where the benefit really counts.

I am not arguing that Declan – but how has the deli done since the workers have been hammered in their take home …
Paul – I am not doubting you …but do Ireland pay tax based on GDP to the E.U. or what was the basis for Enda lashing out another fortune to Europe based on “strong economic growth” …David Cameron stood firm and got a discount – did he not – he got time at any rate – our Leader just folded and signed the cheque !
If a country is weak internationally then that is totally down to weak leadership – nothing more nothing less !
While mol an oige has worked a treat for Dail Eireann for years Austerity has made Ireland grow up a little and Enda and co. are beginning to look very weak and very condescending and very out of touch with modern Ireland !

I don’t know what deli or cafe you go to at lunch but all the ones in sandyford are mobbed with people at lunchtime

I don’t live in Dublin Declan …..
We were told that the pass machines (showing my age) would run out of cash – proven lie !
We were told that 6% was a good deal with the I.M.F. – Lie – the greeks were given a complete write off on their debt interest /…
P.W.C. gave the banks a clean bill of health –
Merril lynch told Cowen that the bailout would max at 17 billion – I believe this makes them liable for the balance – where’s Enda with the Court Case – or the rangers for that matter ?
Ireland’s fiscal policy and the soundings out of the Department have been “misleading” since we joined the Euro as far as I can see !

You are referring to our contribution to the EU budget. Every member contributes. It is based on an ability to pay ie gdp. As we got richer we paid more. We still get as much out of the EU as we put in. In the past, when we were poorer we got back a lot more.
GNP as a measure might suit us more for calculating our contribution as this would exclude foreign companies in Ireland. But as Declan said they contribute a lot to our economy.
David Cameron didn’t get a reduction, even though he said he did. He simply had it rescheduled. The EU won that one.

But then foreign companies are putting a charge on us by running 7 billion through our economy and including it in their profit – that’s just plain wrong with only Ireland loosing !
2.3 million is less than what 1/3500th of the billion ! or to put it in tax speak what 0.0003% are the E.U charging more or less than this on the 7 billion turnover ?

gdp is not ability to pay ….. it is turnover – that’s a load of boll^x !