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Evaluate the impact on Ireland of any two of the following: (i) The Common Agricultural Policy (ii) The Competition Policy (iii) The European Union Social Charter - Leaving Cert Business - Question B - 2006
Question B
Evaluate the impact on Ireland of any two of the following: (i) The Common Agricultural Policy (ii) The Competition Policy (iii) The European Union Social Charter
Worked Solution & Example Answer:Evaluate the impact on Ireland of any two of the following: (i) The Common Agricultural Policy (ii) The Competition Policy (iii) The European Union Social Charter - Leaving Cert Business - Question B - 2006
Step 1
The Common Agricultural Policy
Answer
The Common Agricultural Policy (CAP) is designed to provide agricultural support and promote sustainability within the EU. For Ireland, the CAP has had significant impacts:
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Financial Support: The CAP provides Irish farmers with substantial financial subsidies, affecting their income stability and encouraging agricultural productivity.
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Rural Development: Investments from the CAP in rural areas have improved infrastructure and quality of life, helping to sustain rural populations.
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Market Stability: The CAP aims to stabilize agricultural markets, ensuring fair prices for farmers while protecting consumers from price volatility.
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Environmental Impact: The CAP encourages sustainable practices, which promote better environmental outcomes but may require farmers to adapt their methods.
In summary, the CAP has positively influenced Ireland's agricultural sector, leading to increased productivity and rural development, although it also necessitates a shift towards more sustainable farming practices.
Step 2
The Competition Policy
Answer
The Competition Policy of the EU ensures that businesses operate fairly, which has important implications for Ireland:
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Fair Competition: The policy prevents unfair practices such as monopolies and cartels, promoting a competitive market environment that benefits consumers.
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Consumer Benefits: By ensuring competitive prices and improving quality, consumers in Ireland gain from lower prices and greater choice in products and services.
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Protection of SMEs: The policy contributes to safeguarding small and medium enterprises (SMEs) by preventing larger corporations from engaging in anti-competitive practices that could endanger their survival.
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Innovation Promotion: A competitive market incentivizes innovation among companies in Ireland, leading to better products and services.
Overall, the Competition Policy supports a healthy economic environment in Ireland that encourages growth and protects consumers.