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HEAD 2 HEAD: YESAlan Ahearne says that with the end of the property boom denting consumer confidence, our economy is likely to fall into recession in 2008 NODanny McCoy says the slowdown in the market should help to create a better economic balance and a return to export-led growth.

Economic booms are often followed by busts. Businesses and households that over-extend during booms are forced to curtail spending sharply when conditions suddenly change. Nowhere is such behaviour more evident than in our housing market. The pace of new home-building over the past year far exceeded demand, resulting in an enormous overhang of unsold properties. Builders have responded to the glut in housing by shelving new projects.