Based on GDP per capita, Ireland is substantially better off than the U.S. It is ahead of Switzerland and Norway, though not within sight of Singapore or Qatar.
Yet the observed lifestyle in Ireland does not seem lavish or gold-plated as it does in Switzerland. A “national road” (comparable to a state highway in the U.S.) will be the width of a North Carolina dentist’s driveway. There is no shoulder and a dirt embankment or hedge will be flush to the edge of the pavement, which is also the edge of the travel lane (see “no shoulder”). Houses are smaller than in the U.S. and systems for central and water heating, etc., seem to be more primitive (one huge plus: no mosquitoes and therefore no screens on the windows!). Public transport infrastructure is better than the U.S., but nowhere near the Russian standard (commuter rail every 15 minutes!). The country does not seem to live any wealthier than southern England, for example.
Costs for labor-intensive items, such as car or aircraft maintenance, are comparable to what people pay in the U.S. and much lower than in Switzerland. Hotels and restaurant prices are also reasonable, especially when you consider that taxes and service are included.
I spoke with several Irish guys who are frequent travelers to the U.S. They think that Ireland is a better country overall, especially for young people, due to the fact that citizens come out of university debt-free and into a strong job market. So they aren’t impressed with our infrastructure, apparently. Thanks to the cold/wet climate, nearly everyone in Ireland can afford to live close to the ocean. Oceanfront property prices are approximately 1/10th of what one might pay in Florida, for example, despite the fact that the Irish property will typically be high enough above sea level (on the rocky shore) to survive quite a bit of sea level rise. (Below, a statue in Cobh that commemorates the first person to immigrate to the U.S. through Ellis Island, but when the future was plainly brighter for a young person in the U.S.)
Our government investigators are the best (look at how the Mueller investigation, in only two years, figured out that older Americans were paying younger Americans to have sex and that Americans sought to avoid paying tax!) so I hesitate to doubt the CIA’s published GDP numbers. However, the facts on the ground don’t seem consistent with the higher-than-Switzerland purported GDP-per-capita.
The Financial Times seemed to agree with this back in 2016: “Multinationals obscure real state of Ireland’s economy; Bloated GDP data blamed on difficulty of measuring their activity.”
The good news is that, whatever the actual level of GDP per capita, Ireland is growing nicely, though property prices are not yet back to their peaks (a real estate developer told me that prices for completed structures, as opposed to undeveloped land, are now roughly where they were at the 2008 peak, but that’s in nominal dollars, not inflation-adjusted). Full post, including comments