Patrick honohan and morgan kelly irish times bailout

Sceala Clann Counsellor Location: KERRY

Looks like morgan kelly has upset the apple cart. patrick honohan is now denying he is a economic traitor to ireland. does not matter what he says now, it is what he did that matters. there are some big hitter who agree with morgan kelly.

tweets about the patrick honohan and morgan kelly irish times debate.

* "I agree with a great deal of analysis (but) I do dispute the prescription ... Morgan Kelly’s prescription is a very, very devastating one for a number of years" — Communications Minister Pat Rabbitte

* "Morgan Kelly is a genius" — TD and journalist Shane Ross

* "I see the typical reaction from the establishment economists — who got everything wrong in the boom — is to ridicule Morgan Kelly. Pathetic!"
— Economist David McWilliams

* "I would give Honohan more credit than what Morgan Kelly is willing to ... but the truth is the last 2.5 years spelled the destruction of Ireland and these policies were approved by him" — Economist Constantin Gurdgiev

the russian, i think he is russian, irish now anyways, he is my favorite economics on the tv, not that i go out of my way to watch much economics on the tv ROFL, but he is class entertaining.

big respect to kerrin for noticing it all a lot sooner than any of them. good call limerick q, morgan kelly of the Irish times
i just read kerrins points again, he did make all the main points that morgan kelly is now saying, but kerrin said it all last year. i go with kerrin's credibility. kerrin worked his way up and employs people, honohan and kelly have top jobs but most their salary is from the state.
Irish Community Images

Patrick honohan and morgan kelly argue over bailout.
Honohan: I did not betray the state over bailout
By Shaun Connolly, Political Correspondent
Monday, May 09, 2011
UNDER-FIRE Central Bank governor Patrick Honohan has denied he betrayed the national interest during the bailout deal negotiations.
Hitting back at stinging criticism from leading economist Morgan Kelly, the finance chief said he wanted to "nail" the claim he was not "playing for Ireland" due to his dual role on the ruling council of the European Central Bank.
Mr Kelly triggered a far- reaching debate with shock analysis that the country’s debts would hit €250bn by 2014 and thus provoke a painful and prolonged national bankruptcy unless it abandoned the EU/IMF deal.

Prof Honohan insisted Mr Morgan’s calculations were wrong, but conceded that if the UCD economist — famous for predicting the property crash — was correct on the debt rate it would herald a financial crisis. "If it gets to a quarter of a billion, he is probably right, that it would be unsustainable. There are errors in the way he has put the numbers together," he said.

The Central Bank chief also conceded that a lot of Mr Kelly’s analysis was "spot on", but rejected the UCD expert’s view that the September 2008 bank guarantee scheme could have been abandoned after a few months, freeing the taxpayer from the dead weight of institutional debts.

"The idea that there was some big opportunity, that I could turn the clock back and blow away with a magic wand that guarantee, that would have been just as destructive as the Doomsday that Morgan foresees and which we will continue to avoid.

"There was no way of having the Government walking away from that very formal guarantee, endorsed by the Oireachtas — the Government would have been treated as bankrupt right away," he said.

Mr Kelly accused Prof Honohan of "making the costliest mistake ever made by an Irish person" and of drastically undercalculating the scale of banking liabilities. Prof Honohan refuted this claim.

Speaking on RTÉ Radio One’s This Week programme, he said: "If things do not go well in terms of economic growth... to cope with that situation we need to think of a better financial arrangement with Europe. We need to think of risk sharing arrangements which will ensure the growth will come right."

Prof Honohan said Ireland still had "cards to play" with Europe, but refused to say what they were.

He said his ECB role was restricted to certain scenarios and he was "playing for Ireland" during the negotiations. He also admitted the deal had been put together in a hurry and was not the "final solution", but a "holding operation".

Energy Minister Pat Rabbitte also denied debts would hit a quarter of a trillion euro. "I agree with a great deal of [Mr Kelly’s] analysis. The piece is a powerful horror polemic. I don’t dispute most of the analysis, but I do dispute most of the prescription," he said.

The minister rejected Mr Kelly’s call to balance the books immediately, stating this would need cuts and taxes amounting to €18bn. Mr Rabbitte said he expected the interest rate to be cut as it was "punitive" and hoped Ireland’s debts would be rescheduled.

irishexaminer.com/ireland/honohan-i-did-not-betray-the-state-over-bailout-154002.html#ixzz1Lsht6Yes

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Patrick honohan and morgan kelly irish times bailout