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Reflections on Irish Industrial Policy towards Foreign Direct Investment

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  • Holger Görg
  • Frances Ruane

Abstract

Irish policy towards foreign direct investment has evolved since the 1950s as a strategy driven primarily by the use of fiscal incentives to enhance the profitability of locating in Ireland, with grants as required to achieve a particular bargaining advantage in competing against alternative international locations. Our empirical analysis of European firms in Ireland suggests that the investment incentives offered appear to have led to significant gross job gains in the targeted high-tech sectors, as proxied here by the Metals & Engineering and Chemicals sectors. However, these gross gains have not translated into net gains of a similar magnitude.

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Bibliographic Info

Paper provided by Trinity College Dublin, Department of Economics in its series Economics Policy Papers with number 973.

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Date of creation: 1997
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Handle: RePEc:tcd:tcduep:973

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  1. Steven J. Davis & John Haltiwanger, 1990. "Gross Job Creation and Destruction: Microeconomic Evidence and Macroeconomic Implications," NBER Chapters, in: NBER Macroeconomics Annual 1990, Volume 5, pages 123-186 National Bureau of Economic Research, Inc.
  2. Lynn Killen & Frances Ruane, 1998. "The Regional Dimension of Industrial Policy and Performance in the Republic of Ireland," Economics Policy Papers 983, Trinity College Dublin, Department of Economics.
  3. Steven J. Davis & John C. Haltiwanger & Scott Schuh, 1998. "Job Creation and Destruction," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262540932, December.
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Cited by:
  1. Basile, Roberto & Padoa Schioppa, Fiorella Kostoris, 2002. "Unemployment Dynamics of the 'Mezzogiornos of Europe': Lessons for the Mezzogiorno of Italy," CEPR Discussion Papers 3594, C.E.P.R. Discussion Papers.
  2. Stephen Roper, 2001. "Benchmarking Regional Innovation: A Comparison of Bavaria, Northern Ireland and the Republic of Ireland," ERSA conference papers ersa01p39, European Regional Science Association.
  3. Marcela de Oliveira Mazzoni & Eduardo Strachman, 2007. "Políticas Industriais E De Ciência, Tecnologia E Inovação Na Irlanda: Ênfase Em Setores De Alta Tecnologia E Uma Comparação Com O Brasil," Anais do XXXV Encontro Nacional de Economia [Proceedings of the 35th Brazilian Economics Meeting] 074, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics].
  4. Stephen Roper & Amnon Frenkel, 2000. "Different paths to success—the growth of the electronics sector in Ireland and Israel," Environment and Planning C: Government and Policy, Pion Ltd, London, vol. 18(6), pages 651-665, December.
  5. Stephen Roper & Seamus Grimes, 2003. "Wireless Valley, Silicon Wadi and Digital Island - Helsinki, Tel Aviv and Dublin in the ICT Boom," ERSA conference papers ersa03p62, European Regional Science Association.
  6. Kristof Dascher, 2000. "Trade, FDI, and Congestion - The small and very open Economy," Working Papers 200009, School Of Economics, University College Dublin.
  7. Zanatta, Mariana & Strachman, Eduardo & Carvalho, Flavia & Varrichio, Pollyana C. & Camillo, Edilaine & Barra, Mariana, 2008. "National Policies to Attract FDI in R&D: An Assessment of Brazil and Selected Countries," Working Paper Series RP2008/69, World Institute for Development Economic Research (UNU-WIDER).
  8. Roper, Stephen & Smallbone, David & Vickers, Ian & North, David & Hewitt-Dundas, Nola, 2002. "Innovation and business performance - a provisional multi-regional analysis," ERSA conference papers ersa02p365, European Regional Science Association.
  9. Aidan Meyler, 1998. "Technology and Foreign Direct Investment in Ireland," Economics Technical Papers 9810, Trinity College Dublin, Department of Economics.

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