Why the Irish Economy Will Outstrip

A LEADING US ECONOMIST believes Ireland's economy will bounce back from the credit crunch and start to outperform major European rivals over the next 10 years. [1] This surprisingly upbeat assessment comes from Dr Robert E. Kennedy, head of business administration at the University of Michigan. Dr Kennedy has written a variety of pieces about population demographics and country prosperity. In that regard, Ireland's consistently resilient birth rate bodes well in standard economic analyses. On the ground, there are other concerns that trace the birth rate and subsequent school-leaving statistics. There is concern with that statistic. Kennedy's reaction to Dell leaving Limerick would be to accept the reality that assembly-line manufacturing would leave Ireland for eastern Europe and beyond. The average wage in Ireland is around $50,000 (€37,000) whereas in Poland, it is $11,000.

Dr Kennedy believes that within a decade Ireland will enjoy annual growth rates of three per cent, far higher than the EU average.[2]

---

1. Henry McDonald -- "Irish economy will lead Europe within a deacde" in The Sunday Observer, 11 Jan 09.
2. Robert E. Kennedy -- The Services Shift: Seizing the Ultimate Offshoring Opportunity ISBN 978-0137133505.

x_ref153