Oireachtas Joint and Select Committees

Wednesday, 25 February 2015

Committee of Inquiry into the Banking Crisis

Context Phase

Professor Gregory Connor:

I would say I am not an expert. That is a political question and that relationship requires someone who really knows the political landscape at a deep level, which I do not. In terms of overview - that paper is a comparison of the US sources of their credit liquidity crisis and the sources of the Irish crisis - in both cases, as in the Greek case, some of the problems are political over-enthusiasm or political biases. For instance, in the US, there was a massive political movement to increase mortgage lending to poorer sectors of society. There was a massively strong political consensus to do that. In Ireland, the equivalent was the relationship with the property development sector - between the coalition governments and that sector. I do not think I can give you a deeper understanding of that. I just do not think I have the expertise and the deep knowledge. That requires a deeper statement than-----

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