Der Euro in Europa - Irland
number of Irish redundancies in 2002 hit
a 14-year high. Over 25,000 people were
laid off in 2002, according to the Irish
government. This is 28 percent higher than
the number of people made redundant in 2001.
The unemployment rate in 2002 was 4.4 percent,
up from 3.9 percent the previous year and
it is forecast to rise to 5.1 percent in
An ICM poll in November
showed that 91 percent of Irish people believe
that prices have gone up since the introduction
of the euro. A survey commissioned by the
Irish Times published on 11 September 2002
shows that 93 percent of Irish people believe
that food prices have gone up since 1 January
2002. A report carried out by the Consumers’
Association of Ireland showed that the average
price of a basket of 31 goods in supermarkets
surveyed by the CAI has increased by 5 percent,
with the biggest hikes being 21 percent
for 6 eggs and 7 percent for a litre of
milk. Ireland is now one of the most expensive
places to live in the world.
Ireland has the wrong interest rate, its
inflation is spiralling out of control.
In December 2001 inflation was 4.2 percent
but the introduction of the euro pushed
this up to 4.9 percent in January 2002.
Inflation stood at 5 percent in December,
an 18-month high and more than twice the
level of the Eurozone average. Even does
not tell the whole story as increases in
electricity charges, health insurance and
local authority charges, amongst others,
have not yet taken effect.
The Irish Finance Minister
is cutting public spending by €1.7 billion
to improve its budgetary position and adhere
to the Stability and Growth Pact.