If the government falls, how long before new elections are held and the new government is sworn in?
I could see a nightmare scenario where the bond markets panic during the transition and there's no effective leadership due to politics. This is really troubling.
Ireland is not relevant to the world economy / "too large to fail". You needn't worry, only the Irish might.
The problem is not one country per se, it's more of a question of where do you draw the line in the sand? If one country goes, it drags down other countries and...