I don’t expect an IMF-style adjustment programme for the UK – but I would not rule it out either. But, the bigger question for the UK, and not just the current government, is what is the UK’s industrial policy going to look like?
The remarkable turnaround in Ireland’s economy over the past decade has been built on the back of a small cohort of multinationals. However, the better they do, the more pressure will come on Ireland.
Khaled Sakr led the IMF’s recent mission to Ireland. In an extensive interview, he talks about how the crisis accelerated a two-tier economy, the need to get more women into the labour force and institutional investors in the housing market.
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