Fiscal stimuli are basically a way to prime the pumps. They will not catalyze sustainable economic growth if not buttressed by a reawakening of private and business sector activities. Furthermore, the private sector will only be roused if supported by a fully functioning financial sector.
And while I will not dwell on it today, the extent of the openness also complicates the measurement of the economy, which has been widely discussed and documented.21 The Irish economy is especially sensitive to developments in the global financial cycle as well as being more prone to structural macroeconomic shocks. These can be evidenced by the volatility of the economy.