Wednesday, 24 August 2011

David McWilliams: Without debt forgiveness our economy can't grow - David McWilliams, Columnists - Independent.ie

David McWilliams: Without debt forgiveness our economy can't grow - David McWilliams, Columnists - Independent.ie
FOR some reason, the issue of debt forgiveness, which has been discussed for years, seems to be back on the table as if it is something new. It is not new. Debt forgiveness, debt write-offs, debt restructuring -- whatever term you want to use -- always happens after a credit-driven growth mirage. The reason is simple. In the boom, too much credit was given to people who had no prospect of paying the stuff back and now they can't pay it back. So, as the saying goes, "can't pay, won't pay"...

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