Mr. John Callinan:

I will try to respond to the questions in the order they were asked. I will hopefully cover all of them in my comments or ask colleagues to respond. A question was asked about whether there were encouraging signs of investment in the past while and whether we are happy in our work. Happiness is not a luxury afforded to us but there is no doubt this is a long, slow, gradual process to turn around the economy, build up investment, improve competitiveness and, ultimately, create the employment the country so badly needs. While we are working on all fronts simultaneously, it will not happen overnight. There is a slight tension between the encouraging signs from internal investment, such as the examples mentioned, which we are trying to achieve more of, and the process by which this converts to employment and better living conditions for people, which is not instant. We are encouraged by the signs we are seeing but we will not be happy until we get to the point at which we are back to full employment and improved living standards and conditions for the people of the country.

I do not have a specific comment to make on Moody's. The Minister for Finance has suggested that, in light of recent developments, Moody's might review its rating of Ireland. It would be encouraging if it did so but it is probably best if I do not comment any further in detail on rating agencies.

The minimum wage is part of a broader issue. What are the various issues that may have some inhibiting factor for people in taking up employment across the economy? The Action Plan for Jobs 2013 contains a commitment to assess the impact of recent reforms, including sectoral wage setting mechanisms, and to assess whether further action can be taken to improve labour market competitiveness. Within that, it will be one of the measures examined.

Senator Colm Burke referred to research and development and whether we should aim for a higher target. Very few people would disagree with the principle but, like everything, it is subject to budgetary conditions. We are looking at a steady upward trajectory and we are keen to see it continue. I will ask my colleague to make a further comment on this, including the EU and how we are doing relative to the EU. It is often forgotten when doing comparisons that most, if not all, big-spending research and development countries have a large defence spend. Much defence expenditure is classified. I am not suggesting it should be stripped out but parking it to one side puts us in a more favourable light. With such large expenditure, these countries are in a position to attract the overseas scientists mentioned. This is not a matter of right or wrong but it is worthwhile reminding ourselves of it from time to time. I ask Ms Mulligan to comment further on this.