No to bailout and bring back punt
Published 19/11/2010 | 05:00
Ireland must resolutely refuse the EU's poisoned chalice of a so-called bailout.
Ireland's best answer would be to drop out of the euro, introduce new punts valued at 1:1 for the euro, accept the debts in that and let the punt fall as sterling has done. This would hurt the euro and cost the mainly German and Swiss bankers and super rich who are the majority owed money.
Irish banks overheated because Ireland is part of the euro and thus when German money was flooding in they couldn't raise interest rates as any prudent government would have done. Thus the property bubble was inevitable. The people who lent them that money were taking a business risk and business risks should involve an element of risk.