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My wife, daughter and I recently spent eleven days in Ireland. We were on holidays and doing some ancestor hunting (my wife's), so I tried to avoid playing the professional observer. Nevertheless, I couldn't help looking and was impressed with what I saw. When my wife and I were in Ireland in the late 1970s, the country looked quite shabby. It was October, which didn't help, but even apart from it being that bleak time of the year, much of what we saw was poor and run down. What we encountered this time could not have been more different. With the exception of cemeteries, to which the Irish don't seem to pay much attention once they have buried a loved one and put up a suitable monument, and old abbey ruins, which are best left unfixed, everything looked new, trim and shiny. There were new cars on good quality roads and new houses in gleaming suburbs. We didn't see a single cart being pulled along by a tired old donkey. There were still tinkers camped at the road side, but even they had moved up a step, now living in trailers pulled by cars or small lorries rather than covered wagons pulled by horses or donkeys. It seemed that the "Irish miracle" had really happened. The miracle appears to be based on Ireland's decision to buy into the European Union and become part of a large, populous and wealthy trading block. As a small country of some five million people, it has not only bought-in, but put itself into a position to benefit greatly from doing so by encouraging the rapid growth of knowledge based industries. I'm not sure of how it has done this, but the media suggested that tax concessions and other supportive programs have played a major role. Because of its good education system, Ireland has produced a cadre of people that can work in the knowledge sector. People are also recruited from other countries, and for one of the few times in its history, more people are moving into Ireland than are leaving it. As I understand it, in order to become part of an integrated Europe, Ireland has to bring its monetary regime into line with the requirements of the European Union, and work toward making the euro, the common currency of the Union, its currency. The introduction of euro banknotes and coins in January, 2002, will be the final and most visible step in the changeover towards the single EU currency. Over a relatively brief period, the Irish punt will be moved out and euro bills and coins will become the medium of exchange within Ireland as well as within the Union. This will not happen easily, and a great deal of thought and discussion has been given to how it should be done in each EU member country, to the role of the euro as an international currency, to the relationship between the euro and the dollar, and to other such matters. Ireland, with its small population, cannot expect to be a major force in defining policies for the new Europe. The strategy it appears to have adopted is to prepare itself to take full advantage of these policies. So far, the payoff has been quite remarkable. In a recent survey, the International Monetary Fund described Ireland as the most rapidly growing economy in Europe. It is running both a budgetary surplus and a trade surplus, and, as mentioned, people are migrating in instead of out. Nevertheless, there are concerns. There is inflation, and the unions are not happy with fixed wage packages which are being eaten away by rising prices. While people do seem to be buying houses in the shiny new suburbs, shelter costs have risen dramatically. The media commonly applies the term "bubble" to the price of real estate. And, of course, there is some risk in giving control over monetary policy over to a European Central Bank, in which Ireland's central bank holds only a very small number of shares. The Irish government may find it increasingly difficult to satisfy both the conditions imposed by the European central bankers and the rising expectations of its working citizens. Inevitably too, fissures are likely to develop between those who can participate in the new economy and those who cannot because of inferior education or other circumstances. Someone on the list has already mentioned that the tinkers are unlikely to play much of a role. But what Ireland seems to have recognized is that it does not have many other options. In an increasingly open global economy, small countries will need to carve out niches if they are to participate and prosper. Ireland has recognized that it is favorably located next to the huge market of continental Europe and that it has a relatively homogenous, educated and industrious population which is able and seemingly willing to pull together to meet common ends. Development based on knowledge based industries is not the only thing which Ireland is promoting. It also appears to have given a huge push to quality tourism. Unlike the knowledge-based sector, which is concentrated in the major urban centers, tourism is spread all over the country. Many of the most important ancient monuments are located in rural areas near smaller towns and villages, and a large effort is now being made to preserve them for posterity and prosperity. When my wife and I visited Ireland in the late '70s, it was possible to walk right up to, and even into, Neolithic burial places, old abbeys, and Norman castles. There was little or no control. Now, at the most important sites, visitors are carefully guided and monitored, and must pay quite a lot to get in. There has been an almost revolutionary recognition of the economic as well as cultural value of ancient things and places. Sites that were falling apart a couple of decades ago are being cleaned up and repaired. In response, huge hoards of tourists are flocking to them, buying souvenirs, spending their nights in the many very good B&Bs, and eating and drinking at pubs and restaurants. Here again problems may emerge. Right now, Ireland is considered a less expensive place to holiday, and it certainly is far cheaper than Britain. This may change. But even if it does, Ireland's huge and varied stock of ancient and romantic places, properly maintained and marketed, should keep people coming. Though our visit was brief, my wife, daughter and I saw quite a lot of the country. We spent time in and around Enniscorthy, Wexford, Clonakilty, Skibbereen, Tralee, Dingle, Maynooth, Carlow and of course Dublin. My wife found out a little more about some of her ancestors, one of whom was killed at Vinegar Hill in the great uprising of 1798 (loyalist, sadly, not rebel) and another of whom was buried not far from Carlow in 1799 (also sadly, the wife of a British officer). Wherever we went, we couldn't help drawing comparisons between Ireland now and the Ireland we saw in the '70s. They were mostly, if not entirely, favorable. The food still has some distance to go, but then the Irish were never noted for their culinary arts. As for our daughter, she is fifteen, and the thing she kept repeating, ad infinitum, throughout the trip was "It's so cool, it's so cool, it's so cool!" We took this to mean that she was enjoying herself. Ed Weick (613) 728-4630 Visit my website: http://members.eisa.com/~ec086636
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