Ignorance is golden, silence is bliss

Ignorance – lack of knowledge or information

Ireland has recently been debating the pros and cons of ratifying the new fiscal pact set to overcome ongoing economic instability in the eurozone. Those in favour of yes argue that it will bring us some sense of security in the face of continued austerity, which is leveraged at middle and lower-income households.

No campaigners believe it will lead us into a deeper spiral of debt and question its effectiveness in offering any valid solution to the crisis. They were met by a threat from Finance Minister Michael Noonan, who claimed the next budget would be harsher as a result of a no vote.

It remains to be seen what benefits the treaty will genuinely deliver and a unanimous agreement among EU member states is not necessary for it to pass. In that case, a yes or no from Ireland will have little impact on whether or not it becomes wider EU policy.

The UK is among the countries to have said no to the pact, while Poland first said yes, but later backed out to reconsider the terms. Hope arose among the Irish when Mr Hollande was voted the new French president. Republicans believed the Merkozy pact would be altered with the rise of the French Socialist.

Enda Kenny forged ahead with the referendum, scheduled for May 31st, despite many calling for him to postpone the vote to see if amendments would be made to the treaty.

Ratified or not, the reality is that Greece will remain a “threat” to the euro, Spain will continue to see its credit rating flounder and Ireland will still have to bid a grand farewell to generation y.

So is it time we stopped all this nonsense about reduced GDPs, higher inflation, low interest rates, compromises to pensions etc?

Nonsense in the sense that like a fairytale, the headlines erupt from some mythical world. A planet where figures are forever changing and stock markets are yo-yoing at a staggering rate. In a world where social media monarch, Facebook, can lose $30 billion in shares in practically the blink of an eye.

One would only witness such inconsistency in a poorly edited…well, fairytale.

Let’s put a halt to economic gloom by burying our heads in the sand and ignoring the volatile sums. Sure that’s what got us into this mess, but if we’re honest, it’s probably the best way of climbing out of it too.

Ignorance is golden.

About natashabrowne

Natasha is a freelance financial journalist and is a student of economics.
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