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EC4333
Lecture
  11
              Ireland and the EU | Recap
          Dr. S. Kinsella | stephenkinsella.net
Today
1. Ireland & The EU
2. Exam stuff
3. Course Recap
1/3 Ireland in the EU
<1973
<1973
depression (negative
     growth)
high unemployment
       (18%)
high inflation (16%)
public finances in crisis
  (deficit of 15.1%)
balance of payments
deficit (14.6% of GNP)
depreciating exchange
         rate
Mass emigration
Rising Poverty
Basket Case
1994~2001
7 years of spectacular
growth (average 9%)
low unemployment
      (3.6%)
low inflation (1.4%)
surpluses on fiscal
  budget (3.5%)
balance of payments
      (3.7%)
The Celtic Tiger
2001-2008
6 years of solid growth
     (average 4%)
2001-2008
6 years of solid growth
    (average 5.2%)
GDP Per Capita, US Dollars

      50 000


      45 000


      40 000


      35 000



                       2002   2003   2004   2005   2006
GDP Real Growth,
   0.060




   0.055




   0.050




                   2002   2003   2004   2005   2006
low unemployment
      (4%)
increasing inflation
      (~5%)
Inflation Rate,



   0.20



   0.15



   0.10




                  2002   2003   2004   2005   2006
surpluses on fiscal
budget turning into
     deficits
So.
So.
So.
So.
So.
EU Funding
building the economy; improving transport
and communication networks; increasing
trade; creating employment; promoting
cultural diversity, peace and understanding;
cleaning up the environment; restoring
tourism amenities; sustaining a country life
and protecting human rights
Benefits/Costs of EU
     Funding
1.
 billions of euros of EU funding over 33 years
1.
 billions of euros of EU funding over 33 years

 2.
 a single European market established between the
EU members
1.
 billions of euros of EU funding over 33 years

 2.
 a single European market established between the
EU members

 3.
 the break up of national monopolies and their
privatisation
1.
 billions of euros of EU funding over 33 years

 2.
 a single European market established between the
EU members

 3.
 the break up of national monopolies and their
privatisation

   4.
 deregulation of the marketplace across Europe
1.
 billions of euros of EU funding over 33 years

 2.
 a single European market established between the
EU members

 3.
 the break up of national monopolies and their
privatisation

   4.
 deregulation of the marketplace across Europe

 5.
 the encouragement of free and fair competition
between EU countries
1.
 billions of euros of EU funding over 33 years

 2.
 a single European market established between the
EU members

 3.
 the break up of national monopolies and their
privatisation

   4.
 deregulation of the marketplace across Europe

 5.
 the encouragement of free and fair competition
between EU countries
6.
 unrestricted trade between EU member countries using
common rules
6.
 unrestricted trade between EU member countries using
common rules

 7.
 a large and growing market of consumers as the EU
enlarged and more countries joined
6.
 unrestricted trade between EU member countries using
common rules

 7.
 a large and growing market of consumers as the EU
enlarged and more countries joined

   8.
 low corporate taxes introduced within Ireland (12.5%)
6.
 unrestricted trade between EU member countries using
common rules

 7.
 a large and growing market of consumers as the EU
enlarged and more countries joined

   8.
 low corporate taxes introduced within Ireland (12.5%)

   9.
 a stable Irish political system
6.
 unrestricted trade between EU member countries using
common rules

 7.
 a large and growing market of consumers as the EU
enlarged and more countries joined

   8.
 low corporate taxes introduced within Ireland (12.5%)

   9.
 a stable Irish political system

   10.
 young educated English mother-tongue population
       a
6.
 unrestricted trade between EU member countries using
common rules

 7.
 a large and growing market of consumers as the EU
enlarged and more countries joined

   8.
 low corporate taxes introduced within Ireland (12.5%)

   9.
 a stable Irish political system

   10.
 young educated English mother-tongue population
       a

   11.
 igh levels of Foreign Direct Investment flowing into Ireland
       h
Ireland in 2008




    (ESRI Q.EC Commentary)
Ireland in 2008

GDP growth expected to stall, or fall slightly




                 (ESRI Q.EC Commentary)
Ireland in 2008

GDP growth expected to stall, or fall slightly
Consumption growth of 1%




                 (ESRI Q.EC Commentary)
Ireland in 2008

GDP growth expected to stall, or fall slightly
Consumption growth of 1%
15% decline in investment




                 (ESRI Q.EC Commentary)
Ireland in 2008

GDP growth expected to stall, or fall slightly
Consumption growth of 1%
15% decline in investment
CPI expected to average 4% in 2008




                 (ESRI Q.EC Commentary)
Ireland in 2009
Ireland in 2009

GDP growth stagnant
Ireland in 2009

GDP growth stagnant
Consumption recovery, tax increases
Ireland in 2009

GDP growth stagnant
Consumption recovery, tax increases
2nd Budget by June 2009
Ireland in 2009

GDP growth stagnant
Consumption recovery, tax increases
2nd Budget by June 2009
Property crash continues
Ireland in 2050

Ireland in the EU?
GDP Growth @ 2% to 2050 Implies GDP
per capita of 70,000 Euros per annum
Investment/Climate Change/Fertility/
Technology
2/3 Exam
2.5 Hours
              Exam
10 Short Qs
4qs, Longer, do 3. (I’ll take your best 3)
Points inside qs determine time allotted.
3/3. Recap
History
History

EMU/OCA
History

EMU/OCA         CAP
History

EMU/OCA             CAP

Competition
History

EMU/OCA               CAP

Competition         Inequality
History

EMU/OCA               CAP

Competition         Inequality

Enlargement
History

EMU/OCA               CAP

Competition         Inequality

Enlargement    Globalisation
History

EMU/OCA                CAP

Competition         Inequality

Enlargement     Globalisation

        EU & Ireland
Email.
EC4333
Lecture
  11
              Ireland and the EU | Recap
          Dr. S. Kinsella | stephenkinsella.net

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EC4333 2008 Lecture11