Basically what he said was bankers gave money to themselves and their cronies again to buy real estate in the new property bubble. Instead of giving loans to SME's small medium enterprises, where people work. Fiat mon-culture.
That's the most sense I've heard in a while from someone standing at a bar. I guess they must have had a spate of UCD professors falling off the stage.
The point about the Economics Dept losing staff is spot on and quite depressing to be honest. A lot of talent lost because of the ridiculous amounts of admin in the place, a point Colm McCarthy always took the opportunity to mention in lectures!
A peculiarity of the economy of Ireland is that at no stage in the history of the state has the state had the legal right to have its own national bank due to the legal precedent of the Government of Ireland Act. All other Eurozone countries do have that right. This is a reason why what Professor Kelly identifies as the likelihood of extinction for Irish SMEs exists and why they have always failed to develop. The most they can ever hope to do, if they can manage their debts, is to sell-out to an international firm to make a profit somewhere further on down the road and this has always been the way since long before "the crisis". The Irish state's exchequer account itself has only been held by an Irish bank (the Bank of Ireland) since 1972 but this bank cannot legally become a national bank and as good as it is, it cannot be managed that way either. The Central Bank of Ireland has to operate on three principles: one, membership of the Eurozone; two, the UK's expectation that the economy of Ireland will relate to that of the British Commonwealth on a similar basis to that of New Zealand; three, the government's hope to compensate for difficulties by attracting US multinationals through a low corporate-tax rate. These aren't necessarily problems. But the absence of a national bank can make this situation problematic because the economy of Ireland lacks a centre of gravity and thus building the basis of a national economy (including doing something more than an entirely fragmented and ad hoc response, if even that, to reforming education, health and the public sector) is not practicable. This has always been the way. It would be nice to think that this could change and improve someday through infrastructural change and real reforms. But the amount of Irish capital invested in the UK by the banks and their depositors (including providers of education and social services), combined with the economic will of the UK and/or UK-firms within Ireland, probably won't allow this to happen, notwithstanding Ireland's EU membership or trade with the US.
It's 2019 and extend and pretend is still in full flight. Corrupt banking is the standard. They are still accountable to no one. Open up the books and let's see who owes the money.
Forgive my ignorance, but before I sit down and watch this I want to make sure this is the guy who called the Irish housing bubble. Am I right? As an aside, I'm Canadian and see some similarities between what happened there and what is starting to happen here. Take care all. PD
To all economists and people in the “know” - can we start an estimated predictions on how long the current Dublin property bubble will last, and how big will be the fall again?
@@ThomasMulliganFlute when people have a roof and are paying off that roof or better still own the roof they have shelter and security they are in a good place and so is the county’s as a collective but the vultures are banned in Germany and should also be banned in Ireland other wise it’s out siders that get to collect the rent and app-reaction off the house that will never get a chance too be called a Home we are good in Ireland at singing rebel songs but forget too take care off looking after our greatest assets our people and country
Sorry Morgan, you don't do anything to deepen my understanding of Ireland's economic implosion. You are a very knowledgeable, personable man and you know a lot about modern banking & economics but your vision does not extend beyond the parameters of the current system. You remind me of a professor of zoology who was acclaimed by his peers because he knew more about the uterus of the female pygmy shrew than anyone else in the world. Very impressive. But what good is that if you are trying to build a boat to escape from Cannibal Island? You know all the theory, the jargon, the processes, the laws, and the rules of the banking system. But you were taught all this in bankster-funded universities and bankster-approved curricula in schools of economics. You were very bright, and you learned well. And you took it all in, hook, line, and sinker. Your analysis of Ireland's economic problems, though interesting, is like the old story of the blind men trying to define what an elephant is by feeling a different part of the creature's body. Too bad you did not question things more deeply and ask "Why?" a lot more. I would love to know why you do not question the fact that private banking cartels control, issue, and operate global money systems for huge, unconscionable profits for a chosen few at the expense of the masses of the people. You talk glibly about 'money' and 'loans' and 'mortgages' but I doubt you understand what these terms really mean. All across the world, millions of people are coming to realize that banks don't lend money at all. They lend credit, which is a different animal altogether, credit that they stole from the people in the first place and repackaged it as their own. How do we know this? We are told by the banksters themselves, from no less institutions as the U.S. Federal Reserve and the Bank of England. They tell us that banks do not lend money - they create new money when they make 'loans'. Privately owned or controlled central banks create money that is backed by nothing. They allow commercial banks do the same, to a certain degree, for a slice of the action as it were. And they charge interest for lending something they never owned until they got a so-called borrower to sign his name on a promissory note. A borrower's promise to pay is backed by the Credit Commons, the pool of energy & labour that has immense value and belongs solely to the people from whom it originated. But the banks capture a 'borrower's' value by sleight of hand and pass it off as their own. This is something the mass media,and RTE in particular, is trying to prevent from entering public knowledge. (RTE recently pooh-poohed the notion that banks create money out of nothing even though the banks themselves admit to this great deception.) You are the darling of the mainstream media which sells you as a rebel, as someone who challenges the banksters and their poodle politicians. But you are not really challenging them. You are not questioning their raison d'etre. You are only threatening to rearrange their system - not tear it down and replace it. Pity. You could contribute something really worthwhile to the nation and the world if you could look beyond the confines of your bankster indoctrination and the mental cage they have imposed on you. foolscrow.wordpress.com
What happened is they sold out their culture and traditions for imported american neoliberalism which was fantastic for a handful around Dublin and boomers looking to retire early on that dream of excess, it was fantastic whilst the EU money flowed in and built the infrastructure, but it wasn't so great when the money stopped flowing in and the soulless glass buildings of low tax corporations remained, whilst corporate drones pushed up the price of property so not even your young can afford to live, work and contribute. Now they have schools, roads, hospitals and airports that they won't be able to maintain as all their young workers escape abroad and the remaing tax corporations threaten to leave if their rate is hiked to compensate.
I have to give this a thumbs down because 1 - Nobody said it was just the banks alone, and that's not the official view. 2 - The government here gave a bank guarantee and was bailed out as a result to save those banks and honour the guarantee but - if they hadn't given a bank guarantee and just let the non systemic ones fail, (which they should have done) there would have been no need for a bailout. So they clearly decided to help make the euro survive once they had given the guarantee as its in our interests. 3 - Multinationals here employ over 150.000 - not "very little" as he says. and by the way calling Guinness British is like calling Budweiser British as they are both owned by the drinks conglomerate Diageo. I think not.
Do you really think that the multinationals will have their way with profiting from our low tax rates for much longer?? This will not last and these big cats will leave for better pastures. Europe and the Americans are already kicking up a fuss about our low corporation tax (Which is not even being adhered to by these gangsters). There is no escaping this, we are in a very dangerous situation.
clocktower7 The EU cannot make countries comply to a common taxation system with a central governance. The individual countries will not stand for it and neither will their peoples. The Irish taxation system is not going to change and neither is France, Neatherlands, Germany or UK. And all of these countries offer taxation incentives of some form or another.
Great talk. Real talk. No paid propaganda like we are accustomed in the USA.
Propaganda = Lies big ones
a lecture everyone should pay attention to
Basically what he said was bankers gave money to themselves and their cronies again to buy real estate in the new property bubble. Instead of giving loans to SME's small medium enterprises, where people work. Fiat mon-culture.
@Michael O Donnell Yes Dude time to exit and get some Bitcoin.
That's the most sense I've heard in a while from someone standing at a bar. I guess they must have had a spate of UCD professors falling off the stage.
Klasse Video. Prima gemacht.
The point about the Economics Dept losing staff is spot on and quite depressing to be honest. A lot of talent lost because of the ridiculous amounts of admin in the place, a point Colm McCarthy always took the opportunity to mention in lectures!
Interesting.
Are the admin people protected by the Haddington Road Agreement.?
There is a General Election coming up
Morgan Kelly should run for Taoiseach
I would vote for him
A peculiarity of the economy of Ireland is that at no stage in the history of the state has the state had the legal right to have its own national bank due to the legal precedent of the Government of Ireland Act. All other Eurozone countries do have that right. This is a reason why what Professor Kelly identifies as the likelihood of extinction for Irish SMEs exists and why they have always failed to develop. The most they can ever hope to do, if they can manage their debts, is to sell-out to an international firm to make a profit somewhere further on down the road and this has always been the way since long before "the crisis". The Irish state's exchequer account itself has only been held by an Irish bank (the Bank of Ireland) since 1972 but this bank cannot legally become a national bank and as good as it is, it cannot be managed that way either. The Central Bank of Ireland has to operate on three principles: one, membership of the Eurozone; two, the UK's expectation that the economy of Ireland will relate to that of the British Commonwealth on a similar basis to that of New Zealand; three, the government's hope to compensate for difficulties by attracting US multinationals through a low corporate-tax rate. These aren't necessarily problems. But the absence of a national bank can make this situation problematic because the economy of Ireland lacks a centre of gravity and thus building the basis of a national economy (including doing something more than an entirely fragmented and ad hoc response, if even that, to reforming education, health and the public sector) is not practicable. This has always been the way. It would be nice to think that this could change and improve someday through infrastructural change and real reforms. But the amount of Irish capital invested in the UK by the banks and their depositors (including providers of education and social services), combined with the economic will of the UK and/or UK-firms within Ireland, probably won't allow this to happen, notwithstanding Ireland's EU membership or trade with the US.
It's 2019 and extend and pretend is still in full flight. Corrupt banking is the standard. They are still accountable to no one. Open up the books and let's see who owes the money.
Forgive my ignorance, but before I sit down and watch this I want to make sure this is the guy who called the Irish housing bubble. Am I right? As an aside, I'm Canadian and see some similarities between what happened there and what is starting to happen here. Take care all. PD
CapitalRev Hi PD, you are correct
Not an expert on this but is it actually true that private debt became public debt?
@@noreexic yes
To all economists and people in the “know” - can we start an estimated predictions on how long the current Dublin property bubble will last, and how big will be the fall again?
Still going lol
@@orosedobheathaabhaile prices still rising
@@ThomasMulliganFlute when people have a roof and are paying off that roof or better still own the roof they have shelter and security they are in a good place and so is the county’s as a collective but the vultures are banned in Germany and should also be banned in Ireland other wise it’s out siders that get to collect the rent and app-reaction off the house that will never get a chance too be called a Home we are good in Ireland at singing rebel songs but forget too take care off looking after our greatest assets our people and country
Australia needs a Morgan Kelly (Steve Keen abandoned us)
We do have one, it's John Adams and Martin North from DFA.
Brilliant.
forgive my ignore. may i know what is this "gragy/dragy" bank he is talking about?
+Danny Abraham "Mario Draghi" is the head of the European Central Bank
What has happened to Ireland since, before Cromwell, has always been a nightmare. But now? What a mess.
_Most Oppressed People Ever!_ (MOPE)
what you should have learned from it is don't follow in the steps of the corrupt U.S. banksters.
Go Sceptics!
happened everywhere.....Tulip Mania borrowing 100% should give us a hint.
ICO's _ Irish business needs to startup with some ICO's. Innovate.
Sorry Morgan, you don't do anything to deepen my understanding of Ireland's economic implosion. You are a very knowledgeable, personable man and you know a lot about modern banking & economics but your vision does not extend beyond the parameters of the current system.
You remind me of a professor of zoology who was acclaimed by his peers because he knew more about the uterus of the female pygmy shrew than anyone else in the world. Very impressive. But what good is that if you are trying to build a boat to escape from Cannibal Island?
You know all the theory, the jargon, the processes, the laws, and the rules of the banking system. But you were taught all this in bankster-funded universities and bankster-approved curricula in schools of economics. You were very bright, and you learned well. And you took it all in, hook, line, and sinker.
Your analysis of Ireland's economic problems, though interesting, is like the old story of the blind men trying to define what an elephant is by feeling a different part of the creature's body. Too bad you did not question things more deeply and ask "Why?" a lot more.
I would love to know why you do not question the fact that private banking cartels control, issue, and operate global money systems for huge, unconscionable profits for a chosen few at the expense of the masses of the people. You talk glibly about 'money' and 'loans' and 'mortgages' but I doubt you understand what these terms really mean.
All across the world, millions of people are coming to realize that banks don't lend money at all. They lend credit, which is a different animal altogether, credit that they stole from the people in the first place and repackaged it as their own. How do we know this? We are told by the banksters themselves, from no less institutions as the U.S. Federal Reserve and the Bank of England. They tell us that banks do not lend money - they create new money when they make 'loans'.
Privately owned or controlled central banks create money that is backed by nothing. They allow commercial banks do the same, to a certain degree, for a slice of the action as it were. And they charge interest for lending something they never owned until they got a so-called borrower to sign his name on a promissory note. A borrower's promise to pay is backed by the Credit Commons, the pool of energy & labour that has immense value and belongs solely to the people from whom it originated. But the banks capture a 'borrower's' value by sleight of hand and pass it off as their own.
This is something the mass media,and RTE in particular, is trying to prevent from entering public knowledge. (RTE recently pooh-poohed the notion that banks create money out of nothing even though the banks themselves admit to this great deception.) You are the darling of the mainstream media which sells you as a rebel, as someone who challenges the banksters and their poodle politicians. But you are not really challenging them. You are not questioning their raison d'etre. You are only threatening to rearrange their system - not tear it down and replace it.
Pity. You could contribute something really worthwhile to the nation and the world if you could look beyond the confines of your bankster indoctrination and the mental cage they have imposed on you.
foolscrow.wordpress.com
What happened is they sold out their culture and traditions for imported american neoliberalism which was fantastic for a handful around Dublin and boomers looking to retire early on that dream of excess, it was fantastic whilst the EU money flowed in and built the infrastructure, but it wasn't so great when the money stopped flowing in and the soulless glass buildings of low tax corporations remained, whilst corporate drones pushed up the price of property so not even your young can afford to live, work and contribute. Now they have schools, roads, hospitals and airports that they won't be able to maintain as all their young workers escape abroad and the remaing tax corporations threaten to leave if their rate is hiked to compensate.
Its ok, Mary Mitchell O'Connor has all the answers she will save us. So go out and buy another house.
Time to exit and get some Bitcoin.
I have to give this a thumbs down because
1 - Nobody said it was just the banks alone, and that's not the official view.
2 - The government here gave a bank guarantee and was bailed out as a result to save those banks and honour the guarantee but - if they hadn't given a bank guarantee and just let the non systemic ones fail, (which they should have done) there would have been no need for a bailout. So they clearly decided to help make the euro survive once they had given the guarantee as its in our interests.
3 - Multinationals here employ over 150.000 - not "very little" as he says.
and by the way calling Guinness British is like calling Budweiser British as they are both owned by the drinks conglomerate Diageo. I think not.
Do you really think that the multinationals will have their way with profiting from our low tax rates for much longer?? This will not last and these big cats will leave for better pastures. Europe and the Americans are already kicking up a fuss about our low corporation tax (Which is not even being adhered to by these gangsters). There is no escaping this, we are in a very dangerous situation.
clocktower7
The EU cannot make countries comply to a common taxation system with a central governance.
The individual countries will not stand for it and neither will their peoples.
The Irish taxation system is not going to change and neither is France, Neatherlands, Germany or UK.
And all of these countries offer taxation incentives of some form or another.
Great performance.
Along with maths, the standard of the spoken English is appalling.
Who do we see about that.?
Whom.
conor LENEHAN was back ON THE LATE LATE SHOW,,,so he must be expecting something GOOD,.