Skip to comments.Ireland needs a bailout -- what went wrong?
Posted on 11/19/2010 8:43:46 PM PST by jessica_tufts
Not long ago, we conservatives were bragging that the very low corporate income tax rates in Ireland were responsible for an explosion of economic growth on the Emerald Isle.
But now, it seems that Ireland needs a $68 billion bailout (see http://online.wsj.com/article/SB10001424052748704170404575624380650443128.html ).
How should a conservative respond when libs say "see, low taxes wrecked Ireland" ?
(Excerpt) Read more at online.wsj.com ...
The Euro for $400.00 Alex?
The truth. They didn't.
To quote Rick Santelli “STOP SPENDING! STOP SPENDING! STOP SPENDING!!!!!”.
Yup the social spending will bankrupt you every time.
Ireland WAS a success symbol for freer markets for awhile. It did a U-turn from socialism, and became very business-friendly.
People should not be pointing to temporary, or even severe economic downturns as failures of capitalism. Nineteenth century American underwent them every so often, and the next up leg in the business cycle propelled the country to new heights. What people must be trained to do is to plan for them as a natural occurence. IOW, sock away some dough instead of installing granite countertops or blowing a weekend in Vegas.
the pols kept spending and promising more spending without regard to the cash coming in
pols can/will bust any budget
Greece, Portugal, Spain, and Ireland are all heading down the tubes.... who’s next? Italy....
*** also known as the PIGS (Portugal, Ireland, Greece, Spain).... the weak sisters of Europe
[and how many US states are essentially bankrupt due to obscene commitments to public sector unions???]
It joined the Euro didn’t it?
Ireland was honest. The rest of the EU, well read...
Where's the article, really?
A big part of the problem was our Fed’s low interest rates created real estate bubbles all over the world, not just the US. Real estate prices we up like crazy in places as varied as India, Dubai, Spain, Portugal, the UK, and of course, Ireland. The bubble made people think they were wealthier than they were, and they probably spent accordingly. Then the bubble burst.
The business climate in Ireland was great. Their current problems, shared by so many, were caused by over investment, by the banking and investment sector, in American mortgage backed securities which were delivering fantastic returns until the risks caught up with the profits.
The risks were created by liberal democrats forcing unrealistic lending standards, written into law, on lending institutions so that people who were unqualified for loans had to be arbitrarily categorized as qualified instead.
One would think there would be powerful investigations looking into the movers and shakers of this grand socialist scheme that has shaken the world but, for now, water carriers like Schumer and Franks have remained safe. Next year may tell a different story.
Banksters gone wild. Same as here.
The Irish trusted and copied America too much. Closer to home, the Canadians didn’t make that mistake.
Low taxes cause high spending?
“Low taxes are the result of low spending,” - Meldrim Thomson, NH governor
The article doesn’t exist. Is this a vanity posting?
A lot of that "Celtic Tiger" growth was built on speculative real estate growth that couldn't be sustained, and now their whole banking system is in trouble.
They bought mortgage backed bonds from Goldman Sachs rated AAA and insured by AIG?
Funny about Ireland....the Arizona Repub;oc got Janet Napolitano elected twice pushing for big new spending programs on education and infrastructure......by comparing AZ to IRELAND....and its economic miracle! The attributed big government INVESTMENT as the secret of Ireland’s success!
Their top economic op-ed above the fold columnist and business page editor-—a guy named John Talton, who seemed to control opinios and slant the paper way left, pretending to move it to the center-——even
claimed that Ireland was a HIGH tax country, that the way for Arizona to get good jobs and high wages was to tax and spend more. He argued that Ireland’s corporate income tax rate was HIGHER than AZ -— (a sleight of hand to fool people into foregetting that we also have a national tax on top of the state one)——that the “low tax” economic argument waa bogus. The AZ Republic started pushing more higher taxes and more spending...lots more spending.... and for lots of government PORK!
In fact. the Arizona Republic is basically the ONLY newpspaper in Maricopa county, where more than half of Arizona’s population lives-—and , under Talton—who claimed that the very JOB of Congressmen is to “bring home the bacon”.....started to target Republican congressmen for being against PORK.....and especially, the went after Jeff Flake.....
Most Republicans caved in to the newspaper’s power, but not Jeff Flake......and we know what happened...where in 2006, Democrats swept into power claiming that Republicans were big spenders and corrupt and leaving us with deficits.
In fact, Janet Napolitano’s spending binge left us with something like a $4 billion deficit on an $11 billion budget.....and then the Republicans got trashed for cutting government to the bone to bring spending in line with revenues during this recession...but
now all of the sudden, after the Republicans won the election big in AZ after the press trashed Republicans over spending cuts-———come the new stories of education spending corruption and all the teachers coming out of retirement and “double-dipping by receiving pensions along with their pay-—but not having to pay into the pension system.....a big scandal they broke AFTER the election...that basically proves LOTS of education fat to cut!!!
Just a little alternative reality here.....it’s the spending, stupid.
Congress spent money in the 2001-2004 recession, but never paid back what it borrowed and they created a new Medicare prescription drug plan and new S-chip health care program, but never raised taxes to pay for them....then tried to fight two wars with borrowed money.......
and it all blew up in our face when the housing market was intentionally slowed by the Fed, which claimed we were at “full employment” and didn’t want wages to rise.....
The URL I provided was the source of my $68 billion figure. Other than that, I did not post any excerpt.
Yeah, if you read this article:
you’ll see some first-class bragging about Ireland’s low taxes.
Sorry you’re having trouble. I just checked http://online.wsj.com/article/SB10001424052748704170404575624380650443128.html
...and the article still exists for me.
The low corporate rates did cause the explosion of growth. Corporations don’t pay taxes, people do.
The overspending by government is the cause of the current crisis.
Your title doesn’t match the title of the article posted.
Furthermore this should be a vanity.
...and I suspect you are a troll.
Perhaps you should go back to the front page of Free Republic and re-read the posting guidelines.
You should post an excerpt of the linked article. There is a separate place for your comments on the article.
When one creates a new thread on this site, there is a field called "Title of Thread." There's no indication that one should parrot the title of a news article when composing the title of one's thread. Furthermore, what is the title of this article? The HTML source says,
. "title>Ireland's Cowen Says Talks With EU 'Going Well' - WSJ.com/title>"
as well as
. "articleHeadline:'Europe Races to Aid Ireland'".
Neither of these titles seem as conducive to a discussion rooted in conservative principles as the title I chose.
Perhaps I should. I made a good-faith effort to look for posting guidelines on the front page, but couldn't find any. I am new around here, so I didn't know about a requirement to post an excerpt. Indeed, the "Posting new thread" form contains a checkbox labeled "This is an excerpt", which implies that posting an excerpt is optional.
Would the following have been an adequate excerpt?
European officials raced to pull together an international bailout of Ireland believed to be worth at least 50 billion ($68 billion)
OK, sorry. What have you learned so far regarding: how should a conservative respond when libs say “see, low taxes wrecked Ireland”?
Just tell them mosquitoes wrecked Africa.
I’d thought that maybe, as a non-Troll, she’d have a ready answer like:
You cannot keep out of trouble by spending more than you earn. - William Boetcker
“Low taxes are the result of low spending,” - Meldrim Thomson, NH governor
It just seems odd to spin Ireland’s troubles as caused by low taxes as opposed to profligate spending.