Many Christians in Ireland, either individually or as members of organisations, have long been campaigning for greater justice and transparency in economic and financial activity. During the ‘boom’ times they may well have felt like the biblical voice crying out in the wilderness; today, however, in the wake of successive financial scandals, discussion of ‘ethical finance’ has gained new momentum and immediacy.

The post-2007 global financial crisis was, fundamentally, an ethical crisis.1 This crisis and its aftermath presented in a distinctive way within the euro zone. What distinguishes the euro zone crisis has been the collapse of ‘solidarity’, considered both as a social virtue and as an integral part of the Schumann–Monnet model of a new European order, a renewal of Europe from the ashes of World War II. Unless and until the true meaning of solidarity is rediscovered and reanimated within the political leadership of the EU, there is unlikely to be economic stabilisation and recovery. In other words, a failure to move the Franco–German dominant consensus away from the hegemony established in the wake of the euro zone crisis, and towards a rediscovery of solidarity, will result in the serious risk of the ‘Balkanisation’ of Europe within a generation.

What is happening in Greece is dramatic; the IMF/EU plan for saving the country is destroying the country; the Greek people are more aware than a year ago that the remedy is killing the patient. It is destroying any kind of solidarity at European level. It can happen to Portugal, Spain, France, Italy and Belgium. The question is not about our public sector or our corrupt government or about the Greeks that are lazy … The question [is] is the IMF changing the actual character of our European social model [?] … there is impoverishment of our middle class, a return to the countryside, and emigration of our youth. There is a support network at neighbourhood and village level, because public sector formal social support networks have collapsed … People day by day are not any more fighting poverty; they are fighting for survival.

European Monetary Union (EMU) was supposed to be a harbinger of growth and stability for its member states, yet the euro zone debt crisis is now in its fourth year and continues to rumble on, in a seemingly endless cycle of crises, summits and false dawns. The currency union creaks under the deficiencies of the euro zone’s fundamentally flawed design, while its survival and capacity to prosper depend on its ability to fix these design flaws. The stakes are high.

Economic historians are well used to writing essays on historical parallels with current economic problems, and drawing lessons from the past. In the case of European Monetary Union (EMU), however, there are no historical precedents. To be sure, we have examples of currency unions that have broken up, but these unions typically existed in the context of multinational empires, such as the Soviet Union. When the empires collapsed, so did the currency unions, and it is not surprising that they did so in circumstances of conflict and economic chaos. To ascribe these conditions to the collapse of the currency unions involved, rather than to the breakup of the empires themselves, as some banking analysts have recently done, is clearly unconvincing.

Eugene Quinn, April, 2011 Introduction The maintenance of a low tax regime was a key tenet of national policy during the years of Ireland’s economic boom. However, there were also demands from many quarters for improved public services and for greater protection for the most vulnerable. For a time, Ireland appeared to achieve the impossible… Read more »

This article explores the deconstruction of the Irish banking system. It discusses the ‘pressure points’ which are reshaping this system, and how these are likely to impact on the wider banking and financial community. This is an important issue in its own right because the constitutive purpose of banking is to support the wider economy, and especially job creation. But it is particularly timely to critique recent events and policies which in combination have served to subvert the development of modern Ireland.

Towards a New Model A map of the world that does not include Utopia is not even worth glancing at … (Oscar Wilde) It is good to remember that utopia is nothing but the reality of tomorrow and that today’s reality is yesterday’s utopia. (Le Corbusier) Politics left to managers and economics left to brokers… Read more »

Across Europe, social enterprises are making a significant impact on communities, particularly those blighted by high levels of unemployment, poverty and disadvantage. According to the European Commission, there are 2 million social enterprises in the EU (representing 10 per cent of all European businesses) and they employ over 11 million people (the equivalent of 6 per cent of the working population of the EU).  In EU Member States, social enterprises are present in almost every sector of the economy, including banking, insurance, agriculture, crafts, various commercial services, and health and social services.

Introduction How can we live in harmony with nature? How do we stop global warming, the associated climate change and the destruction of ecosystems? How can we eliminate poverty, provide security and create sufficiency for all the people of the earth? How do we restore an ethic of care for people and for the earth?… Read more »

Introduction The virus of global recession, with its virulent manifestation in Ireland, has raised the question of what antidotes are possible. What lessons can we learn from the past, in order to plot a more secure way into the future? In particular, the question arises as to whether we need to consider a new, more… Read more »

Crisis Much of the world is going through the biggest financial and economic crisis since the Great Depression of the 1920s and 1930s.  While the crisis is not as severe as that of the Great Depression, its effects are more widespread, owing to globalisation and the interconnectedness of national economies.  It is causing much suffering,… Read more »

Introduction The current economic and financial crisis has had an enormous impact across the world. Here in Ireland, we have experienced the harsh consequences of a sharp reversal of economic growth. During 2009, there was estimated fall of over 7 per cent in GDP, and of more than 10 per cent in GNP. Both measures… Read more »

A call to justice for the poor and marginalised is to be found in the three major monotheistic faith traditions. The Hebrew tradition specifically mentions the need for justice for the poor in their lawsuits.1 In Christian scriptures, scribes or lawyers were encouraged to foster justice, especially among the poor and widows. A similar call to justice can be found in the Quran,2 alongside calls to charity.3 Each tradition is intimately linked to law, and emphasises the need for its careful application with justice and mercy.

It is no exaggeration to say that people in Ireland are in a state of shock at the suddenness and severity of the downturn in the country’s economic situation. In so far as we thought about ‘Ireland after the Celtic Tiger’, most people assumed it would be a time where growth would be slower, but more sustainable, where there would be ‘a soft landing’ for house prices, and where the gains of the boom years would be consolidated. We did not envisage an economic recession, a deep and widespread crisis in the financial system, a sharp rise in unemployment, and considerable anxiety about the future.

Down the ages, some currents of thought have seen business as incapable of being honourable, and barely able to be honest, since honest business will always be at a disadvantage in competition with dishonest business. On this view, neither business, banking, investment, profit-making, nor entrepreneurial initiative promote the good of individuals or society. Business ethics… Read more »

How Do We Define ‘Development’? Before examining the connections between debt and trade, it is worthwhile to reflect on what we mean when we talk about a ‘development perspective’. It is now widely accepted that economic models that are not people-centred have led us to the current global crisis of deepening poverty, degradation of rights,… Read more »

Economics is central to public policy and economic policy affects centrally the lives of citizens. Economics allows us to explore the likely outcomes of particular economic activities and to examine how policy impacts on different groups in society – who benefits and who loses – and to come up with proposals for change.