Analysis: Over-caution in investment won’t get business restarted in 2021

The danger is that Paschal Donohoe and Michael McGrath might be overcautious and not invest enough to restart the economy and restore jobs when the virus recedes

According to Paschal Donohoe last week, our preferred measure now of economic activity is a yardstick called modified domestic demand

Paschal Donohoe is not known for a tendency to exaggerate, and this is why his description of “truly horrific” economic figures was notable last week.

The Minister for Finance was outlining his government’s budget strategy to the Budget Oversight Committee where one figure in particular stood out – the unemployment rate of 16 per cent.

Putting aside any economic considerations, such a level of unemployment in any country is a national blight and resolving it ...