does anyone know what historical events led to the recent soveregin debt problems in IRELAND? and this relation to the UK?
"Have you ever heard of a television programme called 'the news'?"
yes obviously. just needed more of a breakdown
Bax-man, although you are studying two of the most awesome subjects ever and have a really great quote, I feel I should point out that the news is not the best source of historical information.
Based on my mere A level Economics (and watching and reading the news every day) the problem was that they were too heavily reliant on banking, their banks were too racy making lots of sily loans that bankrupted them and the government had to bail them out. The ROI isn't really big enough to do that, their banks being being very large for such a small country (lots of land, very few people). This was compounded by the fact their economy was based on a huge property and building bubble that would have meant they were in real trouble even without covering the banks.
The effect on the UK is that they buy ALOT of stuff from the UK (physical stuff as well as services) and they buy much less now. We also had to stump up some of the money to bail them out because we didn't want them to buy even less stuff and it would knock confidence in us if any EU country failed.
Ironically when I started Economics Ireland was literally the textbook model of how to encourage growth. It was genuinely in Alain Anderton's 'Economics' as a model of growth.
If you need more ask and I'll try and get back to you.