Hello, 
I'm trying to study Ireland?s recent economic success.  I would like to 
apply endogenous growth theory or some other macroeconomic theory to
explain Ireland?s economic success but do not have any experience
doing this.  All the models in my textbook have so far been drawn out
for me.
I would like to know how an economist would take an macroeconomic
theory, neo-classical or Keynesian, and explain part of Ireland?s
success using some kind of data, a description of how the theory
applies, and a chart or graph.
Also I?d like general advice on how to go about applying textbook
theories to real life situations when text books always provide things
automatically, technological progress, for example, as the number N. 
How do they get technological progress?  How is it separated from all
other things that can affect a countries growth?  How do I find
something like that from the general statistics countries publish
online?

Thanks.

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Clarification of Question by happy_cow-ga on 14 Apr 2005 18:54 PDT

I recently found an article that says it explains how development
theory can explain Ireland's success.  The article is from some big
firm so I cant access it, but I would also accept if someone can show
me how to apply this theory to Ireland, and explain how they did it.

Hi,
You probably know that Ireland's economic take-off relates directly to
its joining the European Union and receiving  - as a rather
under-developed new member - a great deal of subsidies, which were
pretty well invested.  At the same time, with an English-speaking
population and originally low wages, it attracted investment more
easily than other new members nations, where language was a barrier to
investment by US companies and that of other nations which were more
comfortable with English.
These factors probably outweigh textbook theories that do not consider
the possibility of such outside influences.
I cannot expand on that further, but maybe it will suggest to you what
additional information you should look for.

Yes, I understand that those kinds of events that led to Irelands
recent success but since I'm an economic student I would like to know
how I can apply those theories I learn in class, to real world events.

Happy_cow --

I would credit Ireland's growth to an aggressive development policy
and would look specifically to what the tactics and strategy of the
Irish Development Authority were from the 1970s onward. You need to
understand the starting point and the reasons behind the decision to
push employment growth aggressively.

For some good comparitive data that you can use as an economics
student, make sure that you read the "Economic Freedom of the World
Annual Report."  I would recommend going back to the original 1995
version FIRST, then read 2004 and more recent reports -- watching
changes and developments in Irish policy.  You may have to get the
1995 report from a library, as the Fraser Institute seems to have only
summary data online:
http://www.freetheworld.com/download.html

The most-recent version of the Annual Report, for 2004, is here:
http://www.freetheworld.com/release.html

Best regards,

Omnivorous-GA