Strand 3 Our economy 41 Ireland the European

Strand 3: Our economy 41: Ireland the European Union: Benefits and challenges

Ireland the European Union: Benefits and challenges Key terms o European Union (EU) o Free trade o CE mark o Eurozone o Brexit Strand 3: Our economy 2

Ireland the European Union: Benefits and challenges The European Union (EU) The European Union is a unified trading/monetary body. o It has 28 independent member countries. (Note: The United Kingdom voted to leave the EU in a referendum held on 23 June 2016. Technically, it is still a member. There will be 27 members when it officially leaves. ) o It tries to balance the needs of its member countries. o It tries to overcome disagreements between member countries by negotiation and agreement. o Agreements are signed into European law. o People, goods and capital are allowed free movement from one member country to another. Strand 3: Our economy 3

Ireland the European Union: Benefits and challenges The eurozone Strand 3: Our economy 4

Ireland the European Union: Benefits and challenges The aims of the European Union o Free trade o Free movement of citizens o Free movement of capital o Removal of physical barriers o Removal of technical barriers by standardising products and safety regulations (e. g. the CE mark) o A common currency (the euro) o Recognised professional qualifications Strand 3: Our economy 5

Ireland the European Union: Benefits and challenges Ireland’s membership of the EU: Economic benefits o Access to larger markets o Foreign direct investment (FDI) o Structural funding and rural development o Financial assistance in times of crisis Strand 3: Our economy 6

Ireland the European Union: Benefits and challenges Ireland’s membership of the EU: Economic challenges o Loss of control o Increased competition o More competition for jobseekers o Varying social benefits in EU countries o Not being able to trade freely with the UK when it leaves the EU Strand 3: Our economy 7

Ireland the European Union: Benefits and challenges Ireland’s membership of the EU: Social benefits o Protection of the Irish language o Job creation and job opportunities o Freedom of movement o Improved working rights o Greater consumer rights o Environmental rules Strand 3: Our economy 8

Ireland the European Union: Benefits and challenges Ireland’s membership of the EU: Social challenges o An ageing population o Many different languages Strand 3: Our economy 9

Ireland the European Union: Benefits and challenges Brexit o On 23 June 2016, the United Kingdom held a referendum to ask citizens if they wanted to stay in the EU. o The result: 48 per cent voted to stay, while 52 per cent voted to leave. o Because the UK is such a large economy, this will have many impacts. Strand 3: Our economy 10

Ireland the European Union: Benefits and challenges The effect of Brexit on Ireland o Reduction in the value of sterling (Irish exports become more expensive, imports become cheaper) o Restriction of movement of Irish people into and out of the UK o Border controls in Northern Ireland o Possible reduction of trade between Ireland the UK o Downturn in the UK economy, which will affect Ireland’s economy o More foreign direct investment in Ireland What do you think? Do the costs of a Brexit outweigh the benefits? Strand 3: Our economy 11