Should the world care about Ireland?

The significance of the crisis in Ireland and the problems in other economies on the fringes of Europe is potentially far wider than their small size would suggest. The exposure of global financial institutions to the likes of Ireland is relatively well-known and manageable, at least compared to the fall-out from the collapse of the mortgage-backed securities market in 2008. However, uncertainty about the future of the euro itself will remain high, undermining business confidence and risk appetite generally. Renewed safe haven demand for the dollar could also accelerate any correction in global commodity prices.