Photo AI
Ireland has been a member of the EU since 1973 - Leaving Cert Business - Question 3 - 2008
Question 3
Ireland has been a member of the EU since 1973. EU membership has had a significant effect on Irish economic growth and development. (A) Outline three advantages to... show full transcript
Worked Solution & Example Answer:Ireland has been a member of the EU since 1973 - Leaving Cert Business - Question 3 - 2008
Step 1
Outline three advantages to Irish business of European Union membership.
Answer
-
Access to a Large Market: Membership provides Irish businesses with access to a vast European market of over 500 million consumers. This allows for increased export opportunities and potential growth.
-
Economies of Scale: Being part of the EU allows Irish firms to achieve economies of scale by expanding their operations across borders, leading to reduced costs per unit as production increases.
-
Free Movement of Goods and Services: EU membership eliminates tariffs and non-tariff barriers, facilitating smooth trade in goods and services. This enhances competitiveness and encourages investment.
Step 3
Explain the role of one of them.
Answer
The European Parliament is the only EU institution directly elected by EU citizens. It engages in discussions regarding new laws and proposed amendments to the EU budget, and it has the authority to approve or reject legislative proposals brought by the European Commission. Additionally, it ensures transparency and holds EU commissioners accountable.
Step 4
Outline two effects of rising unemployment on the Irish economy.
Answer
-
Increased Social Welfare Payments: Rising unemployment leads to a higher demand for government-provided social welfare, placing further strain on public finances.
-
Decreased Consumer Expenditure: Higher unemployment generally results in reduced disposable income for households, which subsequently leads to decreased consumer spending, negatively impacting overall economic growth.
Step 5
Outline, using examples, two ways in which Information Technology helps Irish firms involved in international trade.
Answer
-
Marketing and Access to Global Markets: Information technology facilitates the creation of websites and online marketing strategies that enable Irish firms to reach international customers effectively.
-
Instant Communication: The use of emails, mobile technology, and video conferencing allows Irish businesses to communicate quickly with suppliers, partners, and customers worldwide, improving collaboration and efficiency.