Will budget convince the outside world?
Since Lenihan was not able to devalue the currency because we are in the euro, his budget was about effecting an internal ‘devaluation’ in the economy
Most of the focus on the budget has been on the domestic debate and the reaction of trade unions and various other interest groups. But perhaps even more important for the government is the reaction of international financial markets, on whom we rely to lend us money.
This will not be judged in the immediate ups and downs in the bond market following the budget announcement, but rather in the weeks and months ahead, as...
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