One question for new finance minister

Oonagh75

Is it possible for the people of this country to put a few quid in the credit union?
If the minister for finance has 100% to spend in any budget, then he has automatically 99% because the 1% must go to national debt and/or borrowing requirement reduction in the future. Maybe build up reserve to offset crises of the future. If any minister for finance thinks, or any MOF who isnt even born yet thinks he or she can come along in 50 years and build a pyramid in their own backyard , so they can get votes, then they will find that they cannot! That money will be protected by law making it impossible for them to waste it. Which party will "deprive themselves" of that 1% ? Their 1%. The 1% they earned on the doorsteps and will spend as they see fit! The 1% they have been mandated to spend for and on behalf of the Irish people. There must be 9987 lobby groups in this country. Lets have one for the country. Lets protect it and mind it. Let us rest knowing that if we get a puncture at least we can fix it ourselves! 1%, 2%. 0.5% whatever it may be, can we not keep it away from those idiots? Forever?

nialldabass

Great Idea, we could even build up enough capitol to not have to be in debt every year, but I'm afraid the banksters and money men could never allow this to happen.

K-9

We had something similar, it was called the Pension Reserve fund. It's nearly all gone now.

jimmycrackcorm

K-9 wrote: »

We had something similar, it was called the Pension Reserve fund. It's nearly all gone now.

Ironically a FF idea.

Duiske

K-9 wrote: »

We had something similar, it was called the Pension Reserve fund. It's nearly all gone now.

Still a few bob there. A little over 4billion cash, and a roughly 10billion investments portfolio. Plus, it seem's BOI are back in profit and will be making a 240million payment back to the fund shortly.

Oonagh75

The government had access to the pension reserve fund. If we could find a way to keep them away from it, permanently. Had that been the way 10 years ago... maybe we would be just fine now. (We being the taxpayer who are paying for this mess, not TDs )

CDfm

A Charley McCreevey idea -to carry prudent reserves.

I woinder if the bank crisis or lack of regulation would have happened with him there. I have my doubts as he is a smart cookie.

Because FF did it does not make it wrong. Businesses put away money for the future in reserves, farmers manage their money after a harvest, its what pension saving is about, even squirrells put away food for the winter.

It is like our governments and civil servants do know the economics and pay lipservice to it but expect a different outcome for their policies. Ned O'Keefe said something along these lines.


A great post OP. These are universal principles. We do not need politicians to be economists but we need them to be sensible. Its common sense.

I would give you a vote Oonagh.

I am not hearing those sentiments in the election from the main parties but have heard them from the independents at New Vision.

http://newvision.ie/wordpress/

K-9

Duiske wrote: »

Still a few bob there. A little over 4billion cash, and a roughly 10billion investments portfolio. Plus, it seem's BOI are back in profit and will be making a 240million payment back to the fund shortly.

True, the banks actually paid the Government a fair bit last year to cover the guarantee. Seems a bit stupid when the Government is pumping Billions into them, but nothing surprises me at this stage.

CDfm wrote: »

A Charley McCreevey idea -to carry prudent reserves.

I woinder if the bank crisis or lack of regulation would have happened with him there. I have my doubts as he is a smart cookie.

Because FF did it does not make it wrong. Businesses put away money for the future in reserves, farmers manage their money after a harvest, its what pension saving is about, even squirrells put away food for the winter.

It is like our governments and civil servants do know the economics and pay lipservice to it but expect a different outcome for their policies. Ned O'Keefe said something along these lines.


A great post OP. These are universal principles. We do not need politicians to be economists but we need them to be sensible. Its common sense.

I would give you a vote Oonagh.

I am not hearing those sentiments in the election from the main parties but have heard them from the independents at New Vision.

http://newvision.ie/wordpress/

Funny enough Labour and FG attacked McCreevy for it, as well as the SSIA's. It was supposed to be a long term fund, only to be drawn down in the 2020's, but they plunged it anyway.

CDfm

K-9 wrote: »

True, the banks actually paid the Government a fair bit last year to cover the guarantee. Seems a bit stupid when the Government is pumping Billions into them, but nothing surprises me at this stage.

Its right because if they do get on their feet again we should not want them in state ownership.

Funny enough Labour and FG attacked McCreevy for it, as well as the SSIA's. It was supposed to be a long term fund, only to be drawn down in the 2020's, but they plunged it anyway.

I had forgotten that.

In fact, the Decentralisation Plan was another initiative to spread the jobs from the countries biggest employer around the country.

That would have had a hugely beneficial effect on small towns pumping money into local businesses.

50 or 100 civil servants in a town would keep a pub open and create employment.

K-9

CDfm wrote: »

Its right because if they do get on their feet again we should not want them in state ownership.

Yeah, my point is it's kind of pointless doing that while they aren't on their feet. I think a banking levy needs to be brought in when/if some of them become going concerns again.

It's a bit of a book fiddling exercise to some extent too as the money going into the banks is capital expenditure, money coming in is revenue.

CDfm wrote:

I had forgotten that.

In fact, the Decentralisation Plan was another initiative to spread the jobs from the countries biggest employer around the country.

That would have had a hugely beneficial effect on small towns pumping money into local businesses.

50 or 100 civil servants in a town would keep a pub open and create employment.

An expensive way of keeping small towns alive though.

CDfm

K-9 wrote: »

An expensive way of keeping small towns alive though.

I dont really think so at the time.

If Euroclear the credit card co can work from Arklow and Fidelity investments from Donegal with oceans between them and their customers.

Then government departments engaged in clerical work could easily have benefited from cheaper property at the time.

Opportunity missed.

Lots of policy initiatives were find of stymied for party political motives.

No wonder Enda Kenny is so cynical of labour and exploring all alternatives.

K-9

CDfm wrote: »

I dont really think so at the time.

If Euroclear the credit card co can work from Arklow and Fidelity investments from Donegal with oceans between them and their customers.

Then government departments engaged in clerical work could easily have benefited from cheaper property at the time.

Opportunity missed.

Lots of policy initiatives were find of stymied for party political motives.

No wonder Enda Kenny is so cynical of labour and exploring all alternatives.

The problem was how it was planned and moving people there.

Decentralisation was a success in the 80's and early 90's but society has changed dramatically since. Families with 2 working parents being the main change.

There was a massive thread on it on the politics board and I'd have been in favour of it initially, but the more I think of it, it is very difficult to implement correctly.

Buying or renting land at bubble prices also made it very costly. There definitely are arguments for it but it became something for the local minister or TD to crow about.

Also was in serious conflict with the National Spatial strategy.