Ireland

Question 1

Inward investment

Answer 1

• Foreign direct investment was central to the transition to fast growth (Crafts,N.2008)
• Corporation tax=12.5% (Fitzgerald,G.2007)
• Large TNC’s such as Microsoft and Intel moved into Ireland (O’Riain,S.2000)
• Contributing output
• Contributing exports using their worldwide rep
• R+D
• The prospect of low corporation tax rates, generous capital grants and the availability of inexpensive labour acting as the main incentives. (Breathnach,P.1998)
• By the mid 1990’s Ireland was attracting one quarter of all US investment in the EU (Breathnatch,P.1998)

Question 2

Open markets

Answer 2

• The competition of open markets and free trade spurred on growth (Fitzgerald,G.2007)

Question 3

TNC’s + JOBS

Answer 3

• Movement of TNC’s into Ireland meant they required jobs
• Total employment rose from 1.2M in 1994 to 1.7M in 2000
  (Voitchovsky,S.2012)
• Jobs in financial and internally traded services rose by 384.5% (O’Riain,S.2000)
• Resulted in more money and confidence amongst individuals

Question 4

Economic freedom

Answer 4

• Entreprenurship seen as the engine of growth in his theory (Holcombe.1988)
• Previously economic freedom not occurred due to
• protectionism in 1950’s
• 1980’s govt interruption
• 1990’s all stripped back
  (Powell,B.2002)

Question 5

Agglomerations

Answer 5

• Created an agglomeration with high tech industrys (Kirby,P.2010)