Topic 1 Revision
1. Discuss one measure of the Irish Economy’s openness to the international economy.

2. Briefly outline the initial approach to economic policy pursued by the Cumann na nGeadheal government after independence in 1922?

Employed a very conservative approach and continued on with the policies that had existed pre independence. Kept parity with sterling given that 97% of Irish Exports were to the U.K. Elevated the promotion of agriculture as the main policy priority.
Low tax and low spend and aimed to balance budgets.

3. Discuss two pillars of Fianna Fáils economic policy after to coming to power in 1932 that proved damaging to the economy in hind sight?
Economic war with Britain: The Irish government refused to pay rent
Forbes 2011 named Ireland as the best country in Europe in which to do business.IMD World Competitiveness Yearbook 2012 ranks Ireland very favourably in a number of key areas which are important for Foreign Direct Investment:
1st for availability of skilled labour;
1st for flexibility and adaptability of workforce;
1st for investment incentives;
1st for attitudes towards globalisation;
2nd for business legislation - openness to foreign investors;
2nd for large corporations that are efficient by international standards;
2nd for adaptability of companies; and
4th for Corporate Tax rate on profit and real corporate taxes.
2. Talent
The combination of a young workforce combined with high standards in education has meant that while companies may locate here initially for low corporation tax they continue to invest in Ireland because of the young talented workforce. 40+ years of MNC (Multinational Companies) investment in Ireland means there is unique cumulative experience of managing pan-EU / global projects for MNCs. A generation of managerial talent has risen through the ranks of MNCs to take pro-active managerial roles in high value manufacturing, global business services and RD&I across business sectors.
Once again the IMD World Competitiveness Yearbook 2012 ranks Ireland very favourably in a number of key areas in relation to education, workforce and management