The ‘Celtic Tiger’ and a Knowledge Economy

Abstract

Over the last two decades, Ireland has proactively marketed its educated workforce, its favourable corporate tax rates, membership of the European common market, and other advantages, to multinational technology corporations. The resulting foreign direct investment in high-tech manufacturing operations has driven a booming Irish economy that has come to be characterized as the ‘Celtic Tiger’. Today, however, Ireland is looking to the research and development sector to drive future growth. Competition from low-wage economies, such as those of Eastern Europe, India and China, threatens Ireland's position as a low-cost, high-tech manufacturing base. Across government, industry and the higher education sectors, Ireland is now focused on fashioning an ecosystem of research and innovation that can guarantee its continued prosperity.