Cowen warns of significant fall in living standards

[Lex Foutish]

I don't think the problem was that he said the standard of living would drop 10-12%. It was the more the way he was pointing out that we should probably be grateful after having so many good years. Has he not copped on yet that the good years were an illusion for most people? Yes people had jobs, yes people had money but they also had massive personal debt and it was this debt that fueled the boom. Now its pay back time. I don't think he realises that people aren't fearful about tightening their belts. They are fearful about losing everything they have.

Talk about nailing the whole situation on the head! I'm with Truthseeker.

Sunny for Taoiseach!!!!!!!!!!!!!!!!!!

 

[Protocol]

But what exactly does he think "a 10 -12% fall in living standards" actually means?

In practice, what will happen and what can people expect?

A drop in living standards means a fall in national income.

It was 190bn in 2007, it will be less in 2008, it will drop by 5% in 2009.

So though some nominal wages may be frozen, other incomes must be falling more.

 

[Caveat]

A drop in living standards means a fall in national income.

Yes. I understand that - what I was getting at was that he didn't elaborate on how he would expect this to directly affect Joe Bloggs - i.e., what form this lowering of living standards would take - examples.

I'm sure this is what people expect to hear - not just a general vague comment with % figures plucked out of the sky seemingly.

 

[thedaras]

.......First, wow an unscripted Cowen and secondly, Balony!.......I don't have to accept a 10-12% in my living standards because he can't get his act together and steers the country into bankruptcy. ...When will we finally have the opportunity to send him to where he can do no more damage?

Brian Cowen's Speech Translated

1) Taoiseach Brian Cowen has said living standards are set to drop by 10-12% over the next few years.....Addressing business leaders in Dublin last night, Mr Cowen said all sectors had to work together, and believe in our capacity to confront the challenges that lie ahead.
Translation: Living standard fall is due to some external, foreign force at play - maybe martians are to blame - one absolute fact - Me and Fianna Fail are absolutely blamless

2) Taoiseach said he knew that many people were finding it difficult 'to stay in the game'. He acknowledged that the country had gone from a position of unknown prosperity to suddenly 'the survival stakes'.
Translation: You see, 'the country' is a thing that acts independently - if only we could get 'the country' to cop on


3) Mr Cowen appealed for self-belief, saying that if we decided to wallow in a sea of doubt, we should not be surprised if we remain in turbulent waters.
Translation: Pull up your socks, get on your bike - look at me, I'm not going to let this recession get me down - even if I have to live on 250,000 instead of 300,000

4) He said we would not succumb to defeatism.
Translation: I wont let hundreds of thousands of job losses or other such irritants get me down - why should it get you down?

5) He called on all sectors to work together, saying his priority over the next few years would be jobs.
Tanslation: Look everyone - my priority is jobs - for me and the other FF TDs, honestly, I care passionately about jobs.

6) He said that, as a country, we must be prepared to take a drop in our standard of living of 10-12% over the next couple of years. But he added that in the context of the growth in wealth over the past decade, we are in a better position than previous generations to face it.
Translation: People are living longer than ever - if citizens skip food every second day, and turn off heating/esb(lets not go there!) every other day - they will be fine, and may even live as long as would have in the 1970s or '80s.

7) Mr Cowen said the country had to get back to basic living and that arrogance has no place, if Ireland is to forge ahead again.
Unable to translate : I feel physically sick - perhaps some other posters could give it a go......

 

[sandrat]

7) Mr Cowen said the country had to get back to basic living and that arrogance has no place, if Ireland is to forge ahead again.
Unable to translate : I feel physically sick - perhaps some other posters could give it a go......

He wants us to forge stuff, like money, cheques etc and hope for the best

 

[shesells]

I'll accept that provided everyone earning over €150k+ (including expenses, so all TDs!) takes a 25% drop. And not a minute before!