The problem here was never the free market or capitilism. It was lack of free market transparency and regulatory enforcement that was the problem. My concern when people try to make it ideological, as many are, is the real threat of extremist political groups using it for self serving leverage. That’s what leads to wars. Insolvent companies, whether banks or otherwise shouldn’t be propped up by the state. And no one company, bank or otherwise, should become so powerful that they can threaten the state with economic or social collapse if not bailed out by the state.
Treasury Holdings or part of its group owns the NTMA building that NAMA work from.
So the NTMA pay their monthly upward only lease to Johnny Ronan, every month on time and on the money. Meanwhile Johnny delivers a pile of his bank loans to NAMA in the very same building and says ‘they are all yours, have a nice day, I’m off to Morocco for the weekend’. ‘And by the way, I’ve done a little corporate restructuring, all above board of course!. You get to keep the Battersea loans, I’ll explain the rest later.’
The reason we are in the shit is not because of the free market it is because state intervention has made the market un-free and stopped it in its tracks. State intervention has preventing capitalism from exposing the scumbags in the banks and regulators office who knowingly took their obscene salaries when they knew the practices they were pursuing were unworkable.
Keynes to be fair to him always warned that his policies of fighting recession with stimulus would not work well in small open market economies. Now if you accept that Keynes was a smart cookie then it should come as no surprise to you that the opposite proposal from followers of the Austrian School in particular for allowing the market to find its own level, invisible hand, laissez faire and all that good stuff will not work well either for the equal but opposite reasons. The reason any of these measures will fail is because there are people in Ireland who control the Irish economy and run it for their own personal motives and failings i.e. greed, power, clerical abuse, tribalism etc.