Irish economy goes into recession "officially"

digitally-yours · 25-09-2008 12:47pm #1

So its Official now.

Recession is here.

The Irish Republic's economy has fallen into recession after shrinking for a second quarter in succession.

The Central Statistics Office (CSO) said gross domestic product (GDP) had contracted by 0.5% in the three months to the end of June.

The economy had shrunk by 0.3% in the first quarter of the year. Technically, a recession is defined as two or more successive quarters of negative growth.

It is the first time Ireland has experienced a recession since 1983.

House building issues

Earlier this month, the Economic and Social Research Institute predicted the Irish economy would contract by 0.4% over the year after growing by 6% last year.

Dermot O'Leary, chief economist at Goodboy Stockbrokers, said: "We have acceptance now that the economy is in recession in 2008. The issue is whether it will improve in 2009.

"One thing we know for sure is that investment spending is going to continue to act as a drag on the economy in 2009, particularly on the house building side.

"We know also that the labour market is deteriorating - so that is going to affect consumption spending. So it does not look like it is going to be a v-shaped recovery."

http://news.bbc.co.uk/1/hi/business/7635426.stm

kaimera · 25-09-2008 12:50pm

glad I'm not at home now -.-

'officially' of course

Silenceisbliss · 25-09-2008 12:50pm

......" read the RUN FOR THE HILLS" that was posted about 3 minutes ago....

CiaranC · 25-09-2008 12:50pm

Yay, Im on the dole. I feel like a character from the commitments.

AnonoBoy · 25-09-2008 12:50pm

Double Recession???

Oh holy **** - we're ruined!!!!!!

Wait.

No.

Double post. *phew*

We're saved!

Silenceisbliss · 25-09-2008 12:54pm

DOUBLE RECESSION....:eek::eek::eek::eek:

jimmycrackcorm · 25-09-2008 1:36pm

It's actually a half-recession. Anyone or anything to do with construction is in Recession, for everyone else it's business as normal.

anonymous_joe · 25-09-2008 1:38pm

Can't be long before we see a lot of people linked to the construction industry leaving the country for pastures new.

KTRIC · 25-09-2008 1:39pm

This is pure scare-mongering at its best. Did they actually think that people were going to pay €600k for a 3 bed semi in Jobstown ?

Kensington · 25-09-2008 1:41pm

I blame everyone who's ever voted Fianna Fail for this - thanks a bunch, bastids!!! :P

Ross_Mahon · 25-09-2008 1:41pm

I knew i should have invested in trees

LeahBaby · 25-09-2008 1:45pm

It was acceptable in the 80's..

Damn Calvin Harris and his jinxes

ejmaztec · 25-09-2008 1:55pm

All we've got to look forward to now is the next budget - gonna be a real hoot :eek: What you used to pay in tax, you'll be paid as salary and you'll never guess where the rest is going to go.

4zn76tysfajdxp · 25-09-2008 1:57pm

Oh ****, does this mean they're gonna make a second Commitments film?

Dancor · 25-09-2008 2:01pm

Ashton Purring Pearl wrote: »

Oh ****, does this mean they're gonna make a second Commitments film?

That would be brilliant, A where are they now/reunion type movie.

joe_chicken · 25-09-2008 2:02pm

From this day forth, Ireland Robot House is on do-deca-triple secret recession probation!

KTRIC · 25-09-2008 2:02pm

I'm sure the question on everyones lips is are mullets, stone wash jeans and tie die t-shirts coming back in ??

Stabshauptmann · 25-09-2008 2:06pm

jimmycrackcorm wrote: »

It's actually a half-recession. Anyone or anything to do with construction is in Recession, for everyone else it's business as normal.

Nope, we've a credit crunch at the moment too - the FS sector is being hard pressed

gurramok · 25-09-2008 2:12pm

And retailers have been hit since Xmas with declining sales.

SV · 25-09-2008 2:13pm

Life is great.

super_furry · 25-09-2008 2:15pm

Well at least we'll get some good snow during the winter.

super_furry · 25-09-2008 2:15pm

KTRIC wrote: »

I'm sure the question on everyones lips is are mullets, stone wash jeans and tie die t-shirts coming back in ??

Coming back? There's been a veritable mullet-paloza in Dublin this year.

ejmaztec · 25-09-2008 2:17pm

dancor wrote: »

That would be brilliant, A where are they now/reunion type movie.

It's going to be called "Do you want fries with that?"

SV · 25-09-2008 2:20pm

So how long do these recession things last? Until people cop the **** on and start spending money again instead of hoarding it?

4zn76tysfajdxp · 25-09-2008 4:07pm

dancor wrote: »

That would be brilliant, A where are they now/reunion type movie.

Oh Jesus Christ, that's the worst idea ever.

Alessandra · 25-09-2008 4:36pm

Well it's hardly a big surprise.

What baffles me is why they are trying to lay all the blame on Brian Cowen? Surely FF and Bertie are also responsible for keeping us in the dark as to the extent of this and not doing enough to prepare for the bad times.

engrish? · 25-09-2008 4:40pm

I dont know what to do!!!!

I hate this crap. It would be great if there was a career advisor with recession in mind...

AARRRGH · 25-09-2008 4:41pm

Alessandra wrote: »

What baffles me is why they are trying to lay all the blame on Brian Cowen?

Cowen was Minister for Finance through some of the good times. He (and FF) tried to take credit for our booming economy - it was their good governance rather than the well performing US and EU economies which made things good in Ireland.

They were obviously full of ****, but if they want to take credit for the good times, they have to take the blame for the bad times.

AARRRGH · 25-09-2008 4:43pm

engrish? wrote: »

I dont know what to do!!!!

I hate this crap. It would be great if there was a career advisor with recession in mind...

Do something to do with the environment.

From the BBC today -

http://news.bbc.co.uk/2/hi/science/nature/7634792.stm

Or get a job in the civil service.

Princess Consuela Bananahammock · 25-09-2008 4:58pm

Cue mass emigration...

SimpleSam06 · 25-09-2008 6:03pm

ClioV6 wrote: »

So how long do these recession things last? Until people cop the **** on and start spending money again instead of hoarding it?

I would have put it until 2012 or so, but the unbelievable carnage going on now in the international markets (and thats only just getting started) has taken even me aback somewhat, so it could be anytime after that really. Probably things will be more or less back on track by 2020 anyway. There has never been an economic shambles on a scale like this in history, and I say that without reservation. Multiple different factors are coming together simultaneously to produce something really special.

Ironically, the very behaviour that is the wisest to survive a recession is the same behaviour that will prolong a recession.

If we had reasonable leadership we could come through it more or less smiling, but since we don't, and the system makes it difficult for reasonable leadership to come to the fore, we're pretty much humped. I'd have a thought or two what to do if I was in charge.

engrish? wrote: »

I dont know what to do!!!!

I hate this crap. It would be great if there was a career advisor with recession in mind...

Rule 1: Get rid of all your debt. Now.

Rule 2: Save. Cash is king in a recession, everybody wants it.

After that you can basically choose one of two options, stick around or try your luck elsewhere. I'd advise against going to any English speaking country, most or all of them are in the same boat as us. Spend six months learning German and French, and you have just opened up options on working in a job market of almost a hundred million people, with a decent economy as well. You'll find a good spot there, especially if you are already qualified; the only retooling you need to do is learn the lingo.

If you plan to stick around, I'm not sure what to say really.

Irish economy goes into recession "officially"

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