Sharing the Recession

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The recession might be hitting all of us hard here at home. But at least we’re not alone in our struggles.

On a recent trip to Ireland I had a chance to talk with David Daly, a well known Dublin Developer for Albany Homes. Real estate values in Ireland have taken as big a hit as in the U.S. And just as here, the economic collapse has forced Ireland to dramatically cut public spending and raise taxes. Banks are under water. Unemployment is above 13% and there is no rapid turnaround in sight. Daly says they have only themselves to blame for overbuilding. Daly says the money was spent as fast as it was coming in but the boom is over. And Daly says we have yet to learn, in Ireland and in America.

“We keep making the same mistakes, recessions are followed by booms, booms are followed by recessions. We supply to meet demand, that’s always been the way. That is the market since time began, to supply what the market demands. And I think we continue to do that but not learn much from it.”

Daly predicts a turnaround for Ireland’s economy in the next two years. Let’s just hope it’s not a boom setting up another bust.