Figures 2 and 3 show that the avoidance of the extraordinary build up in household debt (plus a more conservative fiscal feedback rule) would have led to a shallower boom-bust cycle and a faster recovery.
In particular, through the preventive use of ex-ante macroprudential policies during the boom, the containment of sovereign spreads during the crisis and the avoidance of fiscal recapitalisation of the banking sector  11 Ireland also set up a household scheme (Special Savings Investment Accounts - SSIA) to  boost the household savings rate during a period of low interestrates.