Professor Philip Lane:

I wrote earlier in my career - it is included in the material I sent the committee - a couple of pieces in 1997-98 where I essentially point out the risk factors. My view is that the risk factors could have been managed through a financial regulator that is more proactive and through a fiscal policy that basically put more aside for the rainy day.

On the euro for Europe, can the Deputy imagine the history of Europe for the past 15 years with 19 more currencies or 18 more currencies - whatever the number is today? During the 1992-93 currency crisis we all had individual currencies. There was a reason the euro was created in the sense that there were a lot of inefficiencies and problems with having a set of independent currencies. So I suppose my view is the euro could have worked and can be made to work so long as the rest of the policy set-up is in line with that.