WHERE WAS THE GROWTH IN FDI JOBS DURING THE CELTIC TIGER?
May 6th, 2012 by Conor McCabe
The ‘good tiger/bad tiger’ analysis that’s embraced by large sections of the Irish Left - that the initial growth was caused by an increase in foreign industrial jobs, with the second wave a property bubble - simply doesn’t stand up when you look at job growth in Ireland during the period. But it is supported despite the lack of evidence. God knows why as it’s a right-wing myth. The graph here is employment growth in Ireland, 1990 to 2008, figures from Forfas.
Conor,
This is a really key point you are making. The increase in FDI-related
jobs during the ten years of the bubble was probably no more
than about 10,000 net.
Given the completely disproportionate effect of the FDI companies
on the GDP top line (consider the absolutely ludicrous numbers reported by Microsoft recently, where they had a huge growth in
“Sales”, but yet saw a drop in profits), all Governments for the
past twenty years have been “whistling past the graveyard” ,
in not facing up to the fact that our debt to GDP ration can be thrown
into disarray overnight, depending on decisions made in one or two
boardrooms in the USA, in relation to the “nationalisation” of sales.
Best rgds,
Tony O’S
Thanks Tony, good point about the debt to GDP ratio. Frightening stuff when you think about it, the house of cards.