The globalisation of the world economy is one of the most important business and economic
phenomenon at the close of the 20 th century. The process has been driven by a wide range of
forces such as improvements in transport and communications and, most importantly, the
clear demonstration that openess to the international economy offers a route to economic
development while isolatio offers stagnation and decline. Ireland has also participated
enthusiastically in this process through the development of a modern trading industrial base.
The last years of the twentieth century have added an exceptional dimension to the transition
to a new millennium in Ireland. The economy of the Republic of Ireland has undergone a
singular transformation; it has surmounted crippling weaknesses to attract widespread recognition
for its impressive performance. No part of the island and no individual on it has been
wholly insulated from the effects of this turnaround.
Within the scope of our group presentation I´ve get very interested in this phenomenon of the
so called “Celtic Tiger”. In this termpaper I will try to explain what the “Celtic Tiger” is and
what makes him run. I will also try to describe its effects. Although the Celic Tiger has led to
an enormous growth, there is another side of the coin. Not every member of the Irish Republic
has profited by the changes in the country. There aren´t only winners. It´s my aim to show the
different sides of this economic boom of Ireland. I will analyse the advantages and highlights
but also the downside of the Celtic Tiger and at the end of the paper the main points will be
summarized in my conclusion.
Inhaltsverzeichnis (Table of Contents)
- Introduction
- Definition of the “Celtic Tiger”
- What makes the Celtic Tiger run? – Causes of the boom
- Tax rates and Foreign Direct Investments
- Membership of the EU, structural funds and workforce
- Social Partnership
- The effects of the Celtic Tiger - the animal also unsheathe it´s hurting claws
- Unemployment, poverty and living conditions
- Property market and inflation
- Ireland, US investors, competitors and the EU
- Strikes, working conditions and civil commodation
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This term paper aims to explain the phenomenon of the "Celtic Tiger," the rapid economic growth experienced by the Republic of Ireland in the late 20th century. It will analyze the causes of this boom, exploring both the positive and negative consequences. The paper seeks to provide a balanced perspective, acknowledging the impressive economic achievements while also examining the social costs and inequalities that arose.
- Causes of Ireland's economic boom ("Celtic Tiger")
- The role of foreign direct investment and tax policies
- Impact of EU membership and structural funds
- Social consequences of rapid economic growth
- Challenges and potential threats to Ireland's continued economic success
Zusammenfassung der Kapitel (Chapter Summaries)
Introduction: This introductory chapter sets the stage by discussing the globalizing world economy and Ireland's enthusiastic participation. It introduces the "Celtic Tiger" phenomenon, highlighting the significant economic transformation and the uneven distribution of its benefits. The author states their intention to explore both the positive and negative aspects of this rapid growth.
Definition of the “Celtic Tiger”: This chapter defines the term "Celtic Tiger" by comparing it to the "tiger economies" of Asia. It establishes Ireland's remarkable economic growth over the past decade, noting that the term is primarily used within British and Irish business and financial circles.
What makes the Celtic Tiger run? – Causes of the boom: This chapter delves into the reasons behind Ireland's economic boom. While acknowledging the lack of consensus in literature, it identifies key contributing factors: low corporate tax rates attracting significant foreign direct investment (FDI), particularly from US multinational corporations (MNCs); membership in the EU, providing access to the European market and substantial structural funds; and a highly skilled workforce. The chapter uses statistics and examples to illustrate the impact of these factors on various sectors, such as manufacturing and technology.
The effects of the Celtic Tiger - the animal also unsheathe it´s hurting claws: This chapter shifts focus to the negative consequences of the rapid economic growth. While acknowledging the overall success, it points to the uneven distribution of wealth, highlighting rising inequality, increasing poverty and unemployment, particularly among young people. It also discusses the impact on social issues such as crime, drug abuse, and the housing market, emphasizing the strain on family life due to high housing costs and the necessity for dual-income households.
Schlüsselwörter (Keywords)
Celtic Tiger, Ireland, economic growth, foreign direct investment (FDI), European Union (EU), multinational corporations (MNCs), tax policy, social partnership, inequality, unemployment, poverty, inflation, housing market, economic development, social costs.
Frequently Asked Questions: Analysis of the "Celtic Tiger" Phenomenon
What is the main topic of this document?
This document provides a comprehensive overview of the "Celtic Tiger" phenomenon – Ireland's rapid economic growth in the late 20th century. It analyzes the causes of this boom, exploring both its positive and negative consequences, aiming for a balanced perspective encompassing economic achievements and social costs.
What aspects of the "Celtic Tiger" are covered?
The document covers the definition of the "Celtic Tiger," its underlying causes (including low tax rates, foreign direct investment, EU membership, and social partnerships), and its effects (both positive economic growth and negative social consequences like increased inequality, unemployment, and inflation). It also examines the roles of foreign investors, particularly US multinationals, and the impact on various sectors, including the property market and labor relations.
What are the key causes of Ireland's economic boom?
The document identifies several key factors contributing to Ireland's economic boom: low corporate tax rates attracting significant foreign direct investment (FDI), especially from US multinational corporations (MNCs); membership in the European Union (EU), providing access to the European market and substantial structural funds; and a highly skilled workforce. The synergistic effect of these factors is emphasized.
What were the negative consequences of the "Celtic Tiger"?
While acknowledging the overall economic success, the document highlights the uneven distribution of wealth, resulting in rising inequality, increased poverty and unemployment (particularly among young people), strains on the housing market, and social issues like crime and drug abuse. The pressure on family life due to high housing costs and the need for dual-income households are also discussed.
What is the role of foreign direct investment (FDI) in the "Celtic Tiger"?
Foreign direct investment, particularly from US multinational corporations, played a crucial role in fueling Ireland's economic growth. Low corporate tax rates were a major incentive for this investment, significantly impacting various sectors of the Irish economy.
What is the significance of the EU and its structural funds?
Ireland's membership in the European Union provided access to the European market and substantial structural funds, contributing significantly to its economic development. This access and funding were instrumental in supporting the growth fueled by foreign investment.
What are the key words associated with this analysis?
Key words associated with this analysis include: Celtic Tiger, Ireland, economic growth, foreign direct investment (FDI), European Union (EU), multinational corporations (MNCs), tax policy, social partnership, inequality, unemployment, poverty, inflation, housing market, economic development, and social costs.
What is the overall aim of this document?
The document aims to provide a balanced and comprehensive analysis of the "Celtic Tiger" phenomenon, exploring both its impressive economic achievements and its less positive social consequences. It seeks to offer a nuanced understanding of this period of rapid economic transformation in Ireland.
- Arbeit zitieren
- Miriam Rinke (Autor:in), 2002, The Celtic Tiger, München, GRIN Verlag, https://www.grin.com/document/15366
