The austerity orthodoxy is working all too well when it comes to driving down living standards, says Simon McGarr, and European leaders need to stop inducing economic depression.
Remember when Ireland nearly went bust because we couldn’t afford to pay the interest on the loans we were being offered? You remember it happened because the entities who loan money are run by, basically, sociopathic lemmings and they suddenly realised that we’d promised to cough up enough money to pay off the loans of any banks that went bust. (Well, the then government had promised it on our behalf, but apparently it’s one of those one-way decisions you can’t change once you’ve done it, like drunkenly texting your boss what you think of them in the small hours.)
Anyway, these sociopath lemmings all realised that if that bank collapse actually happened (and they collectively suddenly thought that it would) Ireland wouldn’t actually be good for the cash. That meant that the country would go officially bust – or "default" – not paying its debts as they fall due. All of which takes us to the 2010 bailout, which was basically just us turning to the last set of people who’d give us money and dropping to our knees, wailing “Please save us!”