Ireland vs US: Gas Prices

When thinking of purchasing a car  one must consider many factors: cost, quality, practicality (to some degree), make, model, interior fabric, etc. One factor that must also hold a decent amount of weight in the decision process is monthly costs. This includes how much you drive, how many kilometers per liter your car gets for gas, and any possible maintenance or upgrades you plan on getting in the near future. 

Fuel efficiency is especially huge, given that gas prices are always fluctuating. Additionally, there is an increased push in Ireland towards the transition of cars from petrol based to electricity based. 

Ireland’s AA car servicing company has noted in a recent survey that overall the price of owning  a family car has been dropping but prices for other vital aspects of car maintenance are still higher than the average Eurozone cost. 

Irish gas prices have decreased by 2.5pc in the last 12 months. Although this is a positive sign for car owners and drivers, this decrease was well needed. At the beginning of 2019, prices had a substantial hike that …

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Ireland vs US: University Prices

Education is valued very differently in the United States and the European Union, but especially Ireland. In an earlier article, it was noted that Ireland in 2018 spent €10.8 billion, or 14.16pc of their entire government expenditure on education. The United States allocated a whopping 6pc of the entire government budget to education, or $68.5 billion, which was down 14pc from the previous year. 

This huge difference in the government’s focus on education gives students in Ireland, and all across the EU, the chance to gain upper level education for an affordable price. In general, students who are striving to get a degree in a higher education institution are very likely within their four year to take out at least one student loan in order to pay tuition for part of, if not all of their educational experience. 

In Ireland, the tuition fees that are associated with which program you choose to pursue as well as if you are from in or outside of the European Union. These differentiations also occur in the United States, but in a different degree. …

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Irish economy at risk

The National Competitiveness Council, or NCC, is an organization that collects, analyzes, and reports data and statistics about the Irish government. In general, it focuses on comparisons of the growth and sustainability across the European Union. This organization has looked into the sustainability of economic health across a multitude of different scenarios. 

As of late, this organization has noted that the Irish economy is becoming too dependent on a small number of domestic firms that fall within similar sectors of the business market. Although it is always a positive to support your home companies, there are some major issues that may come from this increased reliance. 

To begin, Ireland’s economic dependence has been primarily within the goods and services export sectors. There has been a huge focus on pharmaceutical and chemicals being exported, with around 58pc of total exports in 2018 being in this sector; in 2017 it was at 45pc. Computer services are also dominating the market, making up 43pc in 2018, which was 3pc lower than in 2017. These bulk exports make up a huge part of the …

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SME debt rises

Debt can come from a variety of places, especially when you are working within the confines of a business and it’s very specific budget. Many times, debt for these institutions is in the form of owed money; this owed money was usually a loan from the bank. 

Within the recent years, the prices of these loans, or borrowing costs, have increased. The first three months of 2019 have seen significant growth in this area, despite economist’s predictions that interest rates would be falling within the year. 

SME’s, or small-to-medium enterprises, saw these high borrowing costs as a sign that they should proceed with extreme caution when working within the borrowing market. These businesses already pay some of the highest interest rates in the European Union and have made sure to be well educated on the possibilities of economic changes or interest hikes on their finances. 

Small-to-medium enterprises are extremely important to have in any market, given that they play a key role in employment. Small enterprises are defined as having less than 50 employees and have an annual turnover or …

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Ireland market basket prices reach EU heights

As of late, Ireland has been flagged as one of the most expensive countries in the EU for food. A market basket is a list of foods, convenience items, and services that are supposed to be representative of an average household spending which is used by economists to compare the consumer price index of each country. In general, this index also allows unflation to be recorded and compared from country to country.

Using this tool, Eurostat has found that prices of food an alcohol in Ireland are 20% higher than the average country, making it the fourth most expensive in the EU. This is surprising, given Ireland’s background as an agricultural nation.

For food alone, Ireland’s prices are 1.2 times more expensive when compared to the other 28 nations in the European Union. These high prices are harmful to consumers, but a definite draw for other EU based grocers. German companies Lidl and Aldi have begun expanding into Ireland, reducing prices below that of their Irish competitors. This business tactic is still effective, given that these discounted prices …

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Recent currency conversions

One of the hardest parts of traveling outside of the EU, or any area that uses the same currency as your own is dealing with exchange rates. Many people traveling from Ireland for business or pleasure to their neighboring country, the United Kingdom, many times find themselves exchanging their hard earned euros for a lesser amount of British pounds.

As of late, any person traveling from the EU to the UK may have noticed a decline in the value of the pound compared to that of the euro. Within the last month and a half, the pound has hit record lows since 2009; the exchange rate is 88.92 pence per euro.  

This low extends to the exchange rate associated with the United States dollar. One pound sterling is currently exchanged for $1.268. In just the beginning of May 2019, the rate was $1.32/pound. This is a significant loss in value over one month’s time.  

This fall is heavily due to the instability of the economy that rests on the shoulders of the October 31 Brexit decision. The …

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Ireland tourism rates rise leaves no trace on total spending

During the first quarter of 2019, it seemed that tourism spending has fallen by 4%. What is odd about this number is the fact that the rate of travel to Ireland has risen by 5.5%. After further investigation, data showed that although the frequency of traveling to Ireland increased, the amount of time that a tourist was to stay in the country has decreased by 3.2%.

With tourism number usually around 12.5 million people over 3 months time, this 3% decrease has left only 11.64 million. 3pc can make a huge impact in total income, especially with the high number of visitors per year.

Tourism is a main form of income in Ireland, especially in the city of Dublin. With a significant decrease in the number of people spending in very tourist oriented areas, there may be a significant amount of competition.

This competition will occur all throughout the city, causing stores with similar products to decrease prices so that they can stand out from their competition. The problem with this tactic is the fact that price …

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Heightening Taxes to Boost Spending

According to the Nevin Economic Research Institute (NERI), the government needs to look at generating extra funding for housing. How do you generate additional government funding? Taxes.

The need for increased spending on housing can be gained from heightening employer-related PRSI, property, gift and inheritance, and carbon taxes. Irelands government spending and tax revenue amounts to much lower than the average EU spending and revenue.

According to the Department of Finance, in 2018 just over €55.5 billion was received by the Exchequer. Tax on income and wealth amounted to 10.5% of the Irish GDP in 2017, while tax on individual or household income amounted to 7.3%.

Countries in the EU that have progressively developed more stable housing and social housing taxes and tax revenues are comparatively much higher than Irelands. For example, Denmark has established housing that over 22% of dwellings are social rented. Denmark’s tax on income and wealth amounts to 29.7% of their GDP and tax on individual or household income equates to 25.4% of Danish GDP.  Denmark exemplifies a similar country in the EU where the housing market …

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European Debt Crisis Statement

We reaffirm our commitment to the euro and to do whatever is needed to ensure the financial stability of the euro area as a whole and its Member States. We also reaffirm our determination to reinforce convergence, competitiveness and governance in the euro area. Since the beginning of the sovereign debt crisis, important measures have been taken to stabilize the euro area, reform the rules and develop new stabilization tools. The recovery in the euro area is well on track and the euro is based on sound economic fundamentals. But the challenges at hand have shown the need for more far reaching measures.

Today, we agreed on the following measures: Greece

1. We welcome the measures undertaken by the Greek government to stabilize public finances and reform the economy as well as the new package of measures including privatisation recently adopted by the Greek Parliament. These are unprecedented, but necessary, efforts to bring the Greek economy back on a sustainable growth path. We are conscious of the efforts that the adjustment measures entail for the Greek citizens, and are convinced …

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We need to clear our bonds, ensure there are retail offerings.

Ireland has been downgraded by Standard and Poors, we are on a ratings watch with Fitch and Moody’s as well. The last bond issued by the NTMA was not subscribed as widely by the international financial community as they were previously and the Irish stepped up and bought up 55% of the bond, we saved the day ourselves. Now we are at a crossroads, we need to raise money, it will be more expensive given our national outlook and at the same time investors are shying away from our sovereign debt, equally we can’t cut back spending enough to bridge the gap and impressing the international investor market with taxation will hurt our national economy.

There is enough money in this country to clear all of the bonds required, and it is held in ready cash format. …

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