Ann Pettifor: 15th February 2009

A couple of weeks ago, I warned on this blog of the impending crisis in Ireland.  (See below). Now the international capital markets are turning the screw on that little sceptred isle. The insurance on Ireland’s debt has rocketed in recent days, implying that the markets expect Ireland to default on her sovereign debt.  There would be no sharper, or more rapid fall from grace for a country that until very recently was the toast of the international capital markets and the European Union.

For an excellent commentary on this, please can I refer you to Simon Johnson’s blog. He is an ex-chief economist at the IMF – and therefore not someone I would naturally warm to. But he turns out to be a soul-mate.  Here is his blog. Look out for the interview with Bill Moyers.