Depression in Ireland similar to California's

[vid]

I stumbled across an interesting article comparing the present economic difficulties in both California and Ireland.According to the author both locations have seen extraordinary rises in home prices turn to massive busts. As a result, both areas have seen depression-like collapses in consumer demand and the local economy. Unemployment and government deficits are surging in both California and Ireland. But, both California and Ireland have zero control over monetary policy and this is the crucial connection.The problem is the impossible combination of a fixed exchange rate, independent monetary policy and free movement of capital. You cannot have all three. And California and Ireland both lack the monetary escape hatch. Depression will set in.
The author offers three bleak options in order to get out of this mess.A bailout, a back door currency similar to the IOUs being issued in California.If such devises are commonly accepted for payments, it maybe be possible to reduce borroring costs and reduce the need for some bond issuances.Finally, the author concludes that mass emigration will be necessary as the jobs move elsewhere.
Depressionary bust in Ireland is echoed in California - Credit Writedowns

[slx]

I stumbled across an interesting article comparing the present economic difficulties in both California and Ireland.According to the author both locations have seen extraordinary rises in home prices turn to massive busts. As a result, both areas have seen depression-like collapses in consumer demand and the local economy. Unemployment and government deficits are surging in both California and Ireland. But, both California and Ireland have zero control over monetary policy and this is the crucial connection.The problem is the impossible combination of a fixed exchange rate, independent monetary policy and free movement of capital. You cannot have all three. And California and Ireland both lack the monetary escape hatch. Depression will set in.
The author offers three bleak options in order to get out of this mess.A bailout, a back door currency similar to the IOUs being issued in California.If such devises are commonly accepted for payments, it maybe be possible to reduce borroring costs and reduce the need for some bond issuances.Finally, the author concludes that mass emigration will be necessary as the jobs move elsewhere.
Depressionary bust in Ireland is echoed in California - Credit Writedowns

Yup, and both were so hyped that it's almost funny!

[dmc444]

California is different in one respect, It has had bad budgetary position since 2002 were as Irelands budget problems have only become bad over the past year or two.

[fiannafailure]

California is different in one respect, It has had bad budgetary position since 2002 were as Irelands budget problems have only become bad over the past year or two.

But they both have bad actors for leaders neither of which can sing or lead

[Wakeupcall]

California is different in one respect, It has had bad budgetary position since 2002 were as Irelands budget problems have only become bad over the past year or two.

Based on the evidence, it looks like we had an awefully bad budget position for the past many years. At least a fracking totally stupid position.

Our government / dictatorship should be ashamed of themselves for being so blind and shortsighted. Why do we pay these fools more than any other country pay theirs?

So they can ride the gravy train to the bowel to be digested along with all the other crap and finally omitted from the anus. Like most of our citizens will end up experiencing.

Ah well, sure the property market will be back in 2010... yeah right

[robert151410]

I think we should get Dan's take on this. He lives in Boston so he is sure to know about California.

[atlantic]

Found this piece on Agora Financial
The California budget crisis has come to and end, but it looks like the whole mess is really just beginning. State lawmakers closed their $26 billion budget gap last night in a manner that will likely irritate every single special interest group in California and send shivers down the spines of the other states still facing similar crises.

So how’d the Governator and his brood pull it off? $15 billion in budget cuts, including mob-inducing measures like cutting health care benefits for underprivileged kids and cuts for welfare, education and municipal governments. Almost $4 billion will come from “new revenues,” aka higher taxes. $2.1 billion will be borrowed and the remainder will be “fixed” with good old-fashioned accounting fraud… no kidding. For example, the government will shift the last state payday of the current fiscal year into the next. Save that little problem for 2011!

[Furze]

Population of California - 37 million - Budget deficit = X
Population of Ireland - 4 million - Budget deficit = Y

Fill in X and Y
Somehow I prefer to be in Ca.

[odie1kanobe]

Can we swap some of their beach babes for some of our beach babes ?

[robert151410]

Can we swap some of their beach babes for some of our beach babes ?

Irish women are coming up to scratch though. They have improved from the bad old days when they wore garters and never changed their underwear.