Author: Philip Lane

Since debt contracts are written in nominal terms,  nominal GDP matters for debt dynamics.  It is worth noting that the projected path for nominal GDP during 2011-2013 in the new CB QB is substantially higher than in the April 2012 Stability Programme Update.

In the SPU,   nominal GDP values are 156.5 bn in 2011, 158.9 bn in 2012, 164.2 bn in 2013

In the CB QB,  these are 158.9 bn in 2011, 163.4 bn in 2012, 168.3 bn in 2013

The 4.1 bn difference in the projected 2013 values will influence the plans for the December budget.

The Central Bank of Ireland today published Quarterly Bulletin 4 2012.

The 2012 Compendium of Irish Economic Statistics have also been published.

This paper is a “must read”  – available here.

This long WSJ article provides an account of how the OMT programme was born – read it here.

This new IMF working paper by Bonhurst and Mody analyses the structural features of the German economy and highlights some key areas for reform – it is here.