A GLANCE AT THE FUTURE

Is the state of Ireland's economy our future?

There are no national financial facts that show anything other than America is facing a terrible economic situation. The national debt is huge and growing daily; unemployment remains at a very high, unacceptable level; and the Obama government is preparing to "buy" some $600 to $950 Billion worth of new Treasury Bonds. These bonds will be purchased with freshly printed, unearned dollars and be used to "stimulate" business in America.

All of these same financial problems are currently being encountered by Ireland and the Irish are failing. The unemployment rate is at 13.7%, a 16 year high. Government bonds can be sold only if the offered annual interest rate is in the range of 8.89%. The leaders of Ireland have recognised the severity of the situation and are acting accordingly. But it may be too little, too late. Michael Mallon, a reporter on the Irish economy recently stated, "... passage of a brutal austerity budget and ongoing fears the Irish deficit and toxic bank debt are simply too huge for the country to handle."


While Ireland tries to implement programs to rejuvenate its economy, quasi-secret meetings are being held by it with representatives of the European Common Market and with agents of the International Monetary Fund (IMF). Both of these entities may soon loan money to Ireland in exchange for control over economic matters. This rapidly approaching economic failure of another European nation (remember Greece) has raised a serious concern in Europe. Just six months ago European leaders were worried about PIIG and how these nations could force terrible consequences on not only Europe but on the whole world.

PIIG? Portugal, Ireland, Italy and Greece.

Recent newspaper headlines have proclaimed "Greek Economics Worse Than Ever" and "Ireland Teetering On Brink Of Ruin" and across the ocean "Argentina Default Narrowly Avoided". All of these statements point to the worsening of these economies. The general view of the impact of these failing nations has been the "... global economy rolling over into stagnation or even recession".

Americans need to quickly reevaluate their national economy as they recently reevaluated who would lead the nation. Washington must cut back on its spending; every state must follow suit; and every citizen must be prepared to "tighten the belt" on household spending. With a good faith acceptance of the reality of the situation, our nation can successfully weather this economic downturn and not jeopardise the basic ideas that have made our nation the envy of the world.

Ireland should be a "bad news" economic example not be be followed by America.