Another aspect of this is less comical but equally serious. the apparent logic unlerlying austerity is that we all allowed ourselves to become uncompetitive during the boom, and must now restore competitiveness through internal devaluation (reducing wages acrioss the board)
Notwithstanding the fact that Ireland’s exports have continued to do well throughout the crash – even allowing for transfer pricing – is it really feasable that every country in the eurozone can be more competitive than every other country in the eurozone?
and also more competitive than China.
Like Germany is.