1. Inequalities within countries
Inequalities in Ireland – A Case Study

2. Economic Inequality in the EU
Within the EU there are economic inequalities.
The core region (the Manchester Milan axis) is very wealthy.
Parts of the periphery are poorer, such as southern Italy, north and west of Ireland, and Scotland.
Many of the new members of the EU are the poorest countries. Their economies have yet to catch up with western Europe.

4. Economic Inequality in the EU
Q. Calculate the difference in income between the EU 15 countries and the new member countries.
Q. Why do these differences exist?
Q. What can the EU do to help make all EU countries more equal?

5. Inequalities within Countries
Inequalities within Ireland

6. The Irish Times (Mon. Feb. 16th 2015)
A study by TASC found that Ireland was at risk of reaching US levels of income inequality.
The income gap was widening as over 33% of earnings were in the hands of the top 10% of earners.
The top 1% of earners (> €200,000) share 10% of all income in Ireland.
The income share of top earners has doubled since 1980s, while bottom 90% has lost a significant share of the national income.

7. The Irish Times (Mon. Feb. 16th 2015)
Ireland is now the most unequal country in the EU when it comes to how the economy distributes income.
When taxes and social welfare payments are included income inequality is reduced to close to the EU average. However, it will get more expensive to narrow this gap if inequality continues to grow.

9. Economic Inequality in Ireland
Even within Ireland there are economic inequalities between different regions.
The Border, Midland, and Western (BMW) Region is poorer.
The Border, Midland and Western (B.M.W.) Region – Cavan, Donegal, Galway, Laois, Leitrim, Longford, Louth, Mayo, Monaghan, Offaly, Roscommon, Sligo and Westmeath.
The southern and eastern regions (including the Greater Dublin Area – GDA) are wealthier.
Southern & Eastern Region (S&E) – Limerick, Carlow, Clare, Cork, Dublin, Kerry, Kildare, Kilkenny, Meath, Tipperary, Waterford, Wexford, Wicklow.

12. High Salaries in the Dublin Region
The graph shows the higher salaries in the Dublin region compared to the western region.

13. A Breakdown of Development Projects in Ireland, 2011
Per Capita GDP, Ireland by Region vs EU Average

14. Why does this difference exist?
The BMW Region
The land is of poorer quality in this region. Many farms tend to be small and less profitable. Many people are employed in farming, fishing and forestry. The population density is low. Urban centres are small and less attractive to companies. Transport links are poor meaning it is hard to attract investment.
The Southern and Eastern Region
The climate is warmer and drier in this region. Farmers are engaged in tillage and dairy farming which are more profitable. The population density is higher. There are 3 million people, many who live in large cities. There are excellent transport links which helps attract international companies and investment.

15. What is a Core Region? Accessible wealthy regions.
Experience the majority of the region’s trade, industry and governmental influence.
Have well developed urban-based economies.
Centres of business, services, government administration and decision making.
Have higher incomes than elsewhere.
Attract industry because they have a skilled labour force, an educated population, large markets and access to services.
Have efficient transport networks and are easily accessible by road, rail, sea and rivers.
Are centres of high population density and are often centres for further education, research and development.
Experience low unemployment and in-migration.

16. What is a Periphery Region?
Less Economically Developed Regions
Lack industrial development and are located far from the economic core and the centre of influence.
Physical and Human Factors that discourage settlement and economic activity
Remote areas with high relief (often mountainous) and poor infertile soil
Poor transport infrastructure makes access difficult
Low population density – often older population
Dependent on primary economic activities e.g. farming, forestry, fishing and mining.
Have few services (tertiary) and are not favoured as industrial locations (secondary) because they have higher transport costs, which reduce their ability to compete successfully in the marketplace.
Experience higher unemployment levels and lower incomes than core areas.
Have fewer third level colleges and poorer health services. As a result, peripheral regions tend to experience low living standards.
Experience high unemployment and out-migration, especially of young people (brain drain) leaving an aging population.

17. Physical features of the BMW Region
Climate
Relief and Drainage
Cool temperate oceanic climate
Higher relief creates cooler and wetter conditions than in the GDA.
Average annual rainfall can exceed 2,500mm (>250 days per year).
Average July temperatures of 14°C and average January temperatures of 5.7°C
More frost inland than in GDA
Varied relief of mountains, lakes and lowlands.
Bluestack and Derryveagh Mountains in Donegal and Nephin in Mayo.
Coastline is made of headlands and sheltered bays due to erosion by the Atlantic Ocean

18. Further inland away from the sea, more frost occurs
Further inland away from the sea, more frost occurs. (Clones has twice as much frost (99 days) as Belmullet.)
Annual rainfall varies from 928mm in Clones to 1,150mm in Belmullet. (Due to relief and rain shadow effect)

19. Many of the rivers are small and flood each year with flood plains developing.
Several mountainous areas dominated by metamorphic rocks which were created during the Caledonian mountain building period – 400 million years ago.
Much of the lowlands are unsuitable for agriculture because they are poorly drained boglands or have thin soils.

20. Physical features of the BMW Region
Soils
Varied soils of generally poor quality e.g. peat and gley soils.
Border Region has boulder clay soils and a drumlin landscape with several large lakes. (e.g. Lough Erne).
In some areas glacial erosion (Connemara) has removed soil cover leaving lakes and shallow peat behind.
Many parts of the region have poor agricultural outputs and are more suited to forestry development.
Drainage basin of the River Shannon around Clonmacnoise has fertile alluvial soils but is often flooded.
Heavy rainfall has led to leaching of soils and the creation of podzol soils which have a hard pan and are poorly drained.

25. Human features of the BMW Region
Population
25% of Ireland’s population-1,132,090 in 48% of the land area.
Lower than average population density – 32 people per km² (vs. 67 persons per km² for the country).
Due to the mountainous relief and poor soils, there is the impact of out migration of young people
Low population prevents economic development as employers will locate where they can find a large labour force.
Many are classified as rural poor.

26. Human features of the BMW Region
Transport
The transport network is underdeveloped due to difficult relief, low population density and lack of economic development.
There are fewer national primary roads in the region and other roads are of poor quality.
Public transport is underdeveloped with just 4% of the population using it to get to work compared to 11% nationally.
The main shipping port in this region is Galway port. However its portal activities are limited as it cannot cater for large containers or international passenger travel.
No longer necessary for international aircraft to stop before going to Dublin.
The low population density of this region (25 per km²) has made it difficult to upgrade public transport links in this region.
The region receives government and EU funds to improve it. The NDP (National Development Plan) focuses on improving road and rail links to the region.

29. Human features of the BMW Region
Employment
Few urban centres – Galway is the largest.
High dependence on primary activities.
Unemployment above the national average.
Low employment level in tertiary sector (services).
Industrial development based on multinational company branch plants, employing many unskilled workers.
Labour force = 25% of the national labour force.

30. Human features of the BMW Region
Industry
Industry is hindered by:
A poorly developed transport infrastructure
Small urban populations which mean small markets.
The location of the region on the west side of Ireland and extreme west of Europe
Lack of power supplies for industry
Low population density
Galway city (pop ) is the main centre of industry and an exception.
After Ireland joined the EEC in 1973 protectionist policies were removed and many traditional industries faced stiff competition from cheaper goods from Europe and many closed.
Information-based industries replaced traditional ones. Most of these industries were foreign multinational companies such as Medical Technologies (US company).

31. Human features of the BMW Region
Agriculture
Main types are:
Pastoral- the main activity in mountainous areas
2 million sheep in Galway and Mayo
Poultry and mushrooms in the border counties
Cattle on boulder clay soils
Arable farming is limited due to poor soils and the climate.
Grass is the most widely grown crop – used for livestock feed
Many farmers have small holdings (60% < 30ha) and practice a semi-subsistence form which is unproductive and unprofitable (between €8700 and €2700).
There is a general lack of mechanisation
Farmers are old (45% are over 60 years) and conservative (little chance of change).
Farms are small and fragmented
Many of the cattle reared for meat have to be sent to the GDA for fattening before going to market.
Wet climate, varied relief and poor soils are an obstacle to commercial farming.
Most farmers get EU grants – subsidies form 68% of farming incomes
Most farmers are part-time and engage in off-farm work - forestry, fishing, agri-tourism, industry

33. Human features of the BMW Region
Government and EU Policy
Aim to develop economic activity.
Many different organisations like:
The Department of Agriculture, Fisheries and Food responsible for the promotion and development of agriculture, food, forestry and rural development.
Industrial Development Authority – responsible for the attraction and development of foreign investment
Údarás Na Gaeltachta funds the economic and social development of Gaeltacht areas.

34. Why is the GDA a core region?
What are reasons why the GDA (Southern and Eastern) region is more prosperous and thriving than the BMW region?
What makes it a core region rather than a peripheral region?
It is a core region because:
Route focus /nodal point
Administrative, financial capital
Major service centre
Natural resources
High population density/in-migration
Attractive to industry

35. Why is the GDA a core region?
The GDA is the core socio-economic region in Ireland.
Words such as developed, wealthy, prosperous and advantaged describe this region.
This region contrasts with the BMW region which is a peripheral socio-economic region.
As with the BMW region, it is the interaction of physical, human and economic processes that make the GDA region a core socio-economic region.

36. GDA Counties:
Meath
Dublin
Kildare
Wicklow

37. Transport Infrastructure Government / EU Policy
Physical and human characteristics combine to influence the type of economic activities (primary/secondary/tertiary) that occur in the GDA region:
Physical Features
Human Features
Climate
Relief
Soils
Population
Transport Infrastructure
Government / EU Policy

38. The GDA region dominates in the Irish Economy
80% of state-sponsored bodies are located in the GDA.
70% of major public and private companies are located within the GDA.
All financial institutions have their headquarters in the GDA.
Dublin is the capital city of Ireland.

39. The GDA: Why is it a core socio-economic region?
It is a route focus/nodal point for Ireland’s road, rail, air and river transport networks.

40. The GDA: Why is it a core socio-economic region?
As the capital city, Dublin is the centre of finance and administration in Ireland. Dublin is also the country’s biggest tourist destination.

41. The GDA: Why is it a core socio-economic region?
The region has natural resources:
Fertile brown earth soils and well-drained lowlands make the region well suited to profitable commercial agriculture
The coastline provides sheltered harbours for the fishing industry.

42. The GDA: Why is it a core socio-economic region?
It has a high population density and is an area of in-migration. It has 36% of the population (1.6 million) in just 12% of Ireland’s land area.

43. The GDA: Why is it a core socio-economic region?
It boasts a modern industrial sector. Industry is attracted to this region because of its wealthy, educated population.

44. Physical features of the southern and eastern region (including the GDA)
Climate
The climate is cool temperate oceanic.
Drier than the BMW with average rainfall approx 750mm (less than half the rainfall of the BMW) because of a rain-shadow effect. The Wicklow Mountains receive more rainfall because of their height (relief rain).
Winters are mild averaging 5 °C (similar to BMW).
Summers are warm averaging 15 °C (similar to BMW).
The coastal location of the region means that frosts are less frequent than further inland.

45. Physical features of the southern and eastern region (including the GDA)
Relief and Drainage
The relief is undulating (gently rolling) lowland. This is ideal for commercial agriculture such as market gardening
The region is sheltered to the south by the Dublin- Wicklow Mountains. The steep grounds of these mountains are a barrier to road development.
The region is well drained by the several rivers that cross the area (e.g. Liffey, Boyne, Blackwater).

46. Region is low-lying and undulating in the north and west.
Perfect for commercial agriculture
Several rivers cross the area e.g. the Liffey , Boyne and Nanny.

47. Physical features of the southern and eastern region (including the GDA)
Soils
Unlike the BMW region where infertile soils are common, the dominant soil type in the GDA region is fertile brown earth soil. These are humus-rich soils, derived from deciduous forests that once covered the region.
In North County Dublin, marine deposition has added sand to the brown earths making them suitable for intensive horticulture.
Infertile blanket peat is found on the uplands of the Wicklow Mountains.

48. Human features of the southern and eastern region (including the GDA)
Population
The Dublin city area has a much higher than average population density (1,218 people per km² compared to 67 per km² nationally). This is due to the availability of work, greater range of services such as health and education.
World-class 3rd level education facilities (e.g. UCD, Trinity, DCU) attract young people to the region. In turn, this educated population provides a skilled workforce for industry which makes the region attractive for investment.
The average population density of the other GDA counties – Wicklow, Meath, Kildare - is closer to the national average at 68 people per km² reflecting their more rural characteristics.
High levels of immigration from BMW region, Europe and the developing world.

49. Human features of the southern and eastern region (including the GDA)
Transport Infrastructure
Dublin has the most efficient transport system in the country
Better developed in GDA region than anywhere else in Ireland but it still struggles to cope with the large volumes of traffic.
Transport costs are a major factor in the location of industry and many traditional city centre industries are moving out to industrial estates on the outskirts of Dublin city. Here, the M50 ring road provides faster, cheaper transport to the airport and port.
Public Transport: The Luas and Dart have made the city centre more accessible to people and encouraged the location of financial services in city centre location.
Largest sea port (50% of Ireland’s trade) and largest airport (gateway to Europe).

50. Human features of the southern and eastern region (including the GDA)
Industry - Primary
There are over 19,000 farmers in the core region, which is less than the 123,000 in the BMW.
The climate and quality of the soil are very good.
Farmers in the GDA make a better living than those in the BMW.
Farms in the GDA are large intensive commercial farms with an above average size of about hectares. BMW average size is 26.7 hectares.
3 % of the population is employed in farming in the GDA.

51. Human features of the southern and eastern region (including the GDA)
Industry - Primary
Physical factors influencing agriculture:
There is a variety of intensive commercial agriculture in the GDA. Arable farms growing wheat are large and profitable.
The low-lying relief of the area has enabled farmers to create large regular fields suitable for mechanised farming.
The climate of the region is cool temperate but it is warmer and drier than the west of Ireland. Frost is rare due to the influence of the Irish Sea which is an advantage for crop growing.
Human factors influencing agriculture:
The region has over one million people - the largest market in the country.
This has encouraged the development of commercial farming . Farmers can sell their produce directly to consumers at the many ‘Farmers Markets’ that occur throughout the region.
They also have access to the wealthy urban population who shop in the many supermarkets and discount stores and who demand fresh produce.
The region contains food-processing industries such as bread manufacturing, brewing and vegetable canning. These industries buy farm produce in large quantities.

52. Human features of the southern and eastern region (including the GDA)
Industry - Primary
Lead and zinc was discovered in1960 in Ireland. The largest of these is in Navan County, Meath and is the largest lead and zinc mine in Europe, employing over 600 people.
The deposits of zinc in Ireland total over an estimated 14 million tonnes,1.5% of the world’s supply found to date.
Ireland is ranked first in the world in terms of zinc discovered per km² and second for lead per km².

53. Human features of the southern and eastern region (including the GDA)
Industry - Secondary
A variety of widely dispersed traditional and modern industries - pharmaceuticals, chemicals, computer hardware and software, food products, beverages and brewing, and medical devices. Examples:
Knowledge-based MNCs in:
Technology - Microsoft, IBM Intel, HP, Rank Xerox, Amazon.com, Apple, Cisco, Dropbox, eBay, Facebook, Google, Hewlett-Packard, LinkedIn, Oracle, PayPal and Twitter. Dublin is the European capital for IT.
Bio-medical Research - About 120 foreign pharmaceutical companies have plants here, including nine of the 10 largest in the world. The country is the largest net exporter of pharmaceuticals in the world.
Food processing - Cadburys, Diageo, Kellogg, Fyffes, PepsiCo
Printing and publishing-independent newspapers at Citywest
Due to development in transport, industry has moved away from traditional locations in the inner city/docklands to business parks/industrial estates near the M50 and the airport e.g. Citywest and Santry near the airport.

54. Human features of the southern and eastern region (including the GDA)
Industry – Secondary
Factors influencing industrial development:
Transport :
A well developed transport network - the area is a nodal point for air, rail, port, road, port tunnel, M50
Ireland’s main seaport and international airport are both in Dublin and these provide a gateway to Europe for manufacturers who import and export goods. For example, the silicon discs that are used by Intel in Leixlip are flown into Dublin for processing here.
Agriculture:
Physical factors have allowed for farming and the development of food-processing industries. Farms provide vegetables and grains used in baking, canning and brewing.
Labour force:
young population (50% under 25yrs) who provide a labour force for manufacturers
an educated skilled workforce - The region is a nationally important education centre. It has several universities and colleges of technology (UCD, DIT) and these provide an educated workforce for knowledge-based industries such as computer manufacturing and software development
high inward migration from Ireland and abroad provides cheap labour (foreign migrants)
Market:
population of 1.3 million with high population density.
wages 10% above EU average provides a rich affluent market for luxury goods.
Government Policy:
Low corporate taxes – 12.5% - are attractive for foreign MNCs.

55. BUSINESS PARKS AND INDUSTRIAL ESTATES IN DUBLIN

56. Human features of the southern and eastern region (including the GDA)
Industry - Tertiary
84% of workforce involved.
Dublin dominates tertiary activities in the country as a primate city
Population of 1.6m in GDA alone creates high demand:
20% in professional services (legal work, finance)
The Irish Financial Service Centre, IFSC, in Dublin employs 6,000 people.
10% in transport and communication-related work.
Teleservices are an important growth sector in the GDA because of it broadband facilities. Hertz has its European call centre in Swords. Google has two centres in Dublin
In Dublin, a large proportion is employed in administration.
Health services are another large employer. Dublin has 6 public and 15 private hospitals.
Education is a large part of the sector with Dublin being home to some of the country’s most respected educational institutions - Trinity College, DCU, UCD.
Quaternary services such as bio-medical and pharmaceutical research and development are also employers and world renowned.

57. Human features of the southern and eastern region (including the GDA)
Industry – Tertiary
Tourism is important:
Dublin region attracts 27% of visitors to Ireland and is Europe’s 4th most visited city.
In m tourists visited Dublin, earning €1.5 billion
More of a ‘year round business’ compared to the BMW region which is more seasonal.
3 international airports with Dublin being the main point of entry - 90% all visitors land at Dublin airport.
Many links via sea to mainland Europe and the UK

58. Human features of the southern and eastern region (including the GDA)
Government and EU Policy
CAP, Structural and Social funds are supplies to the GDA – as with the BMW.
CAP: Common Agricultural Policy. This is a system of subsidies and support programmes for agriculture.
Structural Funds: Structural funds help reduce regional imbalance. All EU member states receive Structural Funds.
Social Funds: The European Social Fun (ESF) funds job creation schemes and also funds schemes to help disadvantages people enter the workforce.

59. Human features of the southern and eastern region (including the GDA)
Government and EU Policy
The GDA qualifies as a competitive and employment region. This funding improves the job opportunities and economic attractiveness of the GDA region.
Dublin, being the financial and administrative capital and most densely populated part of Ireland, is the natural focus for foreign and government investment.