Friday July 10, 2020

No holiday from austerity

High debt need not impede growth, but a European recovery has to take hold before Ireland can relax its correction of the government deficit, writes John Fitzgerald.

27th April, 2013
An anti-austerity protest of red cards is staged outside City Hall in central Dublin earlier this month. Photo: Photocall Ireland

Unbelievers can cheer when a prophet is dethroned, but the faithful may not even notice. In a recent paper, two prominent economists, Reinhart and Rogoff, claimed that high debt inevitably has a serious effect on growth.

The fact that subsequent analysis has shown that the evidence for this "finding" was unsatisfactory is a serious embarrassment to the authors. They are both well respected economists with a large body of valuable work to their credit.


Subscribe from just €1 for the first month!

Exclusive offers:

All Digital Access + eReader



Unlimited Access for 1 Month

Then €19.99 a month after the offer period.

Get basic
*New subscribers only
You can cancel any time.



€149 For the 1st Year

Unlimited Access for 1 Year

You can cancel any time.




90 Day Pass

You can cancel any time.

Team Pass

Get a Business Account for you and your team

Share this post

Related Stories

The best writing and and the biggest stories of 2019 from the Business Post

Richie Oakley | 6 months ago

Denis O’Brien is back in court, residents continue to fight the Council on halting site and a row surfaces in government over rent control proposals

Leanna Byrne | 4 years ago