The risks associated with Ireland's global positioning are daunting and should not be overlooked, according to Sir George Quigley, president of the Economic and Social Research Institute. Speaking at the institute's 41st a.g.m. yesterday, Sir George said the risks of being a leading player in the so-called "new economy" must be identified, evaluated and factored into policy.

Looking ahead, he said it would be necessary to maintain the economy's competitiveness in circumstances where, even as growth in Ireland moderates, it will still be ahead of the rest of the euro zone. Continuing high levels of growth may risk labour market adjustments which are now the only safety valve if things go wrong.