While the struggles and triumphs of the Irish are many, their current government is breaking new, and dangerous, ground:
The Irish government plans to institute a tax on private pensions to drive jobs growth, according to its jobs program strategy, delivered today. Without the ability sell debt due to soaring interest rates, and with severe spending rules in place due to its EU-IMF bailout, Ireland has few ways of spending to stimulate the economy. Today’s jobs program includes specific tax increases, including the tax on pensions, aimed at keeping government jobs spending from adding to the national debt.
Lovely. Just lovely. And what will the government do when its tax is insufficient offset the out of control spending? Oh, they’ll just play with the numbers a little bit. After all, wouldn’t want to simply nationalize the pension plans–like Venezuela did.