Current 10-year bond rates for Irish bonds stand at 6.8%, while the US 10-year bond rate closed at 2.5%. Let's not forget how Obama was assailed for suggesting austerity would stifle recovery.
And I'll preemptively reiterate something: I think the free markets are wonderful things, and they are, by and large efficient. But markets fail. That failure destroys people's livelihoods and that's when the government has to step in and ease the inevitable market correction.
Clearly for Ireland, something has gone awry and because of professed belt-tightening there is little the government can do to help people out. They're stuck waiting for the market correction.