Over the past 3 months, I have taken an Irish economics course, which has been my first encounter with this subject. Not only have I learned about Ireland’s life and culture, but I have learned about their economy over the past few decades, and can foresee their economy in the next few years. I have found this course to be interesting, as it has given me a complete understanding of Ireland’s current situation and the hardships they have had to deal with for the past 5 years.
Only after three months of studying the Irish economy, I have learned that price bubble which caused unsustainability, and resulted in a drop in the GDP of almost 14 percent. The unemployment rate also massively increased to 14 percent, resulting in an economic depression for Ireland. These circumstances, along with the ongoing budget deficit, Eurozone Crisis, and worldwide banking crises’, have certainly paved the way for a lengthy economic recovery for Ireland.
The Irish budget deficit is the highest deficit in the European Union, having a deficit of about 13 percent last year. This deficit is largely due to the household debt, with several people neglecting to pay their mortgages. The recent budget plan for 2013 is set to support growth in jobs and overall recovery, with the budget totaling 2.5 billion euros. However, that is a small piece of the total deficit that Ireland is experiencing, and it will take patience and time for the immense national debt to fall. From what I have been taught, the chances of a repeat of the Celtic Tiger are highly unlikely, as Ireland attempts to recover from Europe’s debt levels, as well as the global circle of economic demise. Ireland’s economy is directly impacted by the performance of the Eurozone. When the economies in countries such as Germany, England, and France fail, it produces a negative effect on Ireland’s growth. However, when Ireland’s partners are performing well, especially through imports and exports, a positive outcome is achieved. The Irish economy will likely experience only marginal growth over the next several years, partially due to the amount, types, and effects of imports and exports.
These important issues Ireland has faced hopefully can be resolved in the near future. After spending time here and feeling like this is my second home, I have become affiliated with the current events in Ireland, and what is bound to happen over time. When I return home, I will want to keep up with Ireland’s issues and news, and will be excited to explain some of these events with my family. It is great to feel like I belong in two different countries, making me have an international mindset. Ireland has given me a worldly perspective, and I am excited to bring my extended knowledge back in the states.