The 22-year-old, who won his first England cap in November, insists he has no worries about being the man to replace Fernando Torres with a £35m club record price tag hanging over his head.
And Dalglish, while accepting owners Fenway Sports Group may have had to pay a premium to persuade Newcastle to part with their home-grown striker, is confident it will prove to be a wise investment."Andy has not had chance to show us what he can do yet but at 22 he has fantastic potential," said the Reds manager of Carroll, who is a month away from recovery from a thigh injury.
"He is already part of the England squad and for us he is a fantastic signing and is the best person we could have got to play in the number nine shirt.
"At such a young age he wore the number nine at Newcastle, which is a fantastic honour.
"He will wear the nine here and for someone who is 22 that is a lot for him to carry and he showed by what he did at Newcastle he is capable of doing that.
"Anyone who can wear that nine shirt up there and scores goals has got a chance."
"He is a fantastic signing and is the best person we could have got"