Sorca Clarke (Longford-Westmeath, Sinn Fein) | Oireachtas source

Professor McMahon referenced how decisions are made and I will focus on that, specifically in the area of corporation tax. Earlier, when I was following the committee online, I listened with interest. He stated that the saving from windfall corporation tax receipts contributes to approximately 16 percentage points of the overall decline of net debt. Will Professor McMahon elaborate on how saving can have a positive impact on the net debt position?

I agree with the statement Professor McMahon made to the effect that over-reliance on a small number of companies and sectors for corporation tax presents a real risk. However, he also stated that excess corporation tax receipts now account for more than €1 in every €4 of tax receipts. Does that mean that he sees all corporation tax as being excess? What definition does he apply when it comes to excess corporation tax receipts?

He argues that we are already experiencing capacity constraints in capital and investments. However, it is worth noting that that varies across different investment programmes. He also argues that it is important to have countercyclical policies.

I would normally agree but, in reality, the procyclical policies of the austerity period are what have left us with massive infrastructural deficits, coupled with the need to rapidly decarbonise, as Deputy Durkan touched on earlier. Does Professor McMahon agree procyclical policies from the austerity period have made countercyclical polices more challenging and, to some degree, represent economic risks?