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Series:   Elements in Economics of European Integration

Europe and the Transformation of the Irish Economy

Published online by Cambridge University Press:  22 May 2023

John FitzGerald  and
Patrick Honohan
John FitzGerald
Affiliation:
Trinity College Dublin
Patrick Honohan
Affiliation:
Peterson Institute for International Economics

Summary

Having stagnated for decades in the shadow of the UK, the Irish economy's performance improved after it joined the European Union (EEC) in 1973. This Element shows how the challenge of EU membership gave focus and direction to Irish economic policy. No longer dependent on low value-added agricultural exports to Britain, within the EU Ireland became a hub for multinational corporations in IT and pharmaceutical products. This export success required and facilitated a strengthening of education and social policy infrastructures, and underpinned the achievement of high average living standards. EU membership has also brought challenges, and several severe setbacks have resulted from Irish policy mistakes. But the European flavour of Ireland's structural policies (leavened with exposure to US experience) has helped it navigate the hazards of hyper-globalization with fewer political tensions than seen elsewhere.
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Keywords

Irish economic policyEuropean Uniontax competitionEuro crisiseconomic growth
Type
Element
Information
Series: Elements in Economics of European Integration
Online ISBN: 9781009306102
Publisher: Cambridge University Press
Print publication: 15 June 2023

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