So it seems austerity alone isn't working

steddyeddy

According to the Washington Post Ireland is back in recession despite the cuts to carers, kids with special needs, businesses shutting down and increased taxes.

I was walking through Dunlaoghaire during the week and noticed the mall there is home to an increasing number of failed businesses, many of which were paying rents decided in celtic tiger times. We just seem to be cutting allowances for the less well of in society (disabled, special needs and carers) and raising taxes without solving any real problems like commercial rents ect.

Article below:

DUBLIN — Figures show Ireland has fallen back into recession, dealing a blow to those who have cited the country as an example of how austerity can work.
Thursday’s report from Ireland’s Central Statistics Office showed the country’s annual gross domestic product fell 0.6 percent in the first three months of the year from the previous quarter.
GDP figures for the second half of 2012 were also revised downwards to show a 1 percent quarterly fall in the third quarter and a 0.2 percent drop in the fourth. The figures put Ireland back in recession — officially defined as two straight quarters of negative growth.





Ireland was the second euro country, after Greece, to be bailed out following a banking crisis. It has been cutting its budget aggressively for years.
Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

With this fact is there anyone who can say austerity alone is working? Do people have the stomach to pay for the mistakes, corruption or scams (anglo) of others?

WumBuster

of course its not working. It never does when the IMF is involved. their main priority is to get their money back first, not growth in the economy.

Celly Smunt

Austerity was never going to bring growth,one positive thing it did do though was force the governments to cut and tax to a progressive level on which we could build upon for a healthier economy in the future.Austerity has run its course now in Irelands case,it's time for some stimulus.

steddyeddy

Thread title fixed.

steddyeddy

pmcmahon wrote: »

Austerity was never going to bring growth,one positive thing it did do though was force the governments to cut and tax to a progressive level on which we could build upon for a healthier economy in the future.Austerity has run its course now in Irelands case,it's time for some stimulus.

That will never work alone. Increasing tax without dealing with commercial rents and other impediments to growth is ludicrous.

wretcheddomain

steddyeddy wrote: »

Ireland is back in recession despite the cuts to carers, kids with special needs, businesses shutting down and increased taxes.

When did we leave? Was it when the politicians had their holidays last year?

MadsL

steddyeddy wrote: »

According to the Washington Post Ireland is back in recession despite the cuts to carers, kids with special needs, businesses shutting down and increased taxes.

I was walking through Dunlaoghaire during the week and noticed the mall there is home to an increasing number of failed businesses, many of which were paying rents decided in celtic tiger times.

https://www.facebook.com/ICTA.Ireland

Failed election promises

steddyeddy

MadsL wrote: »

https://www.facebook.com/ICTA.Ireland

Failed election promises

Thank you very much for the link. That is a real eye opener. Landlord in this country are bringing the country to its knees.

Celly Smunt

steddyeddy wrote: »

That will never work alone. Increasing tax without dealing with commercial rents and other impediments to growth is ludicrous.

Well in terms of commercial rents,there's not much in reality that the government can do directly to lower them.Stimulus from here on out,or even a year or two down the road would promote a positive environment to bring investment into Ireland.It's up to the small and medium businesses to demand a more competitive rent market pro actively.

jjbrien

I dont know what the government is thinking they seem to think its cut cut cut all the time. I for one never bought a big house during the boom, i just rented as i seen the house prices as silly money and now I either have to stay here have cuts and higher taxes pushed on me and my wife or take a hike and move to another country. We now need money pumped into this country as it seems its been sucked out the door. Like the Dublin Metro they were talking about for years and never did why not do it now whilst the costs are cheaper? We will still need it in a few years. We could really get a lot of capital projects done now whilst building labor is cheap. Take the builders off the dole and put them working on the metro and a few other major projects that will bring life back into this country.

And yes I was in Dun Laoighre myself last week and noticed the same thing with the shops there. Lower their rates help them at all costs stay in business. Also the ferry out there only now comes in once a day maybe do something to help Stena Line run the boat more often into Dun Laoighre there like a tax break on the fuel or something for more sailings and cheaper tickets into Dun Laoighre.

steddyeddy

pmcmahon wrote: »

Well in terms of commercial rents,there's not much in reality that the government can do directly to lower them.Stimulus from here on out,or even a year or two down the road would promote a positive environment to bring investment into Ireland.It's up to the small and medium businesses to demand a more competitive rent market pro actively.

Business owners are being very proactive but a lot of landlords won't meet them half way. The government should try and introduce retrospective legislation on upward only rent reviews.