Ireland in 2005

Ireland, one of the smallest countries in the European Union, had attracted worldwide attention from economists and policy makers for the tremendous progress it had made in the past three decades. At one point of time, Ireland had been deemed an economic failure, a country that after years of mismanagement was suffering from high unemployment, slow growth, high inflation, heavy taxation and towering public debts. Yet within a few years, it had become the "Celtic Tiger", a rare example of a developed country with rapid growth, low unemployment and inflation, a low tax burden and a tiny public debt. In 1987, Irish GDP per person was 69% of the EU average (adjusted to EU 15).