Stephen Donnelly (Wicklow, Independent) | Oireachtas source

We did to a point, but this goes much further than that. For example, I very reluctantly endorsed a "Yes" vote on the fiscal compact. My biggest concern was the structural deficit. That is absolutely new. It means that the 60% debt to GDP becomes completely irrelevant because the structural deficit mathematics show that the debt to GDP ratio actually is one over X, where X is growth. If growth is at 4%, the debt to GDP target is not 60%, it is 25%. To hardwire that kind of economics into any law is very dangerous but I guess that is neither here nor there.

Mr. Gallagher said they will not comment on the mix but they will comment, if I understand this correctly, on our adherence to medium-term objectives. The medium-term objectives most definitely get into areas such as investment in human capital, investment in physical infrastructure, and whether we are on a stable growth trajectory. Is it not, therefore, reasonable to assume that the Commission might say we have 20 boxes to tick for compliance, for which it is giving us green light? However the Commission could also say that Ireland is setting itself up for failure as it is massively under-investing in education and will miss its medium-term objectives even though in compliance with the various fiscal rules. Am I correct in thinking it is Mr. Gallagher's understanding that they would not make such comments?