Oireachtas Joint and Select Committees
Wednesday, 7 September 2022
Committee on Budgetary Oversight
Updated Economic and Fiscal Position in Advance of Budget 2023: Discussion
Dr. Eddie Casey:
On that point, we are not seeing a contraction in growth in the first two quarters. Growth is actually still powering ahead. Even though it is moderating, the domestic economy is still moving at a fast clip. The other thing is that unemployment is at a once-in-a-generation low level. In these types of conditions, in which there are pressures from the Government adding more stimulus into the economy, we are likely to see even higher inflation. That is why we are saying that, while we do not have a perfect number in respect of possible temporary measures in the future, the Government needs to stand ready and watch for a turning point.
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