Dublin became one of the 15 most expensive cities in the world [source]. Really?! Unfortunately yes.
I like Dublin, nothing bad with it, but honestly this is quite ridiculous.
Ireland was living a proper desertification process because of its very poor economy and related massive emigration just few decades ago [70s and 80s].
Then like a magic, in the period of time between the 1998 and 2003, some enlightened Irish minister created and introduced the “Corporation tax”, with a very interesting 12.5% rate commencing from 1 January 2003, coming from a 32% for the financial year 1998 to 12.5% [source] .
It’s curious because when many other Countries, with a more various economy, with a more consistent history of success and with first class economists [Italy, France and Germany, for example], generally increased taxation to have fresh funds to use for the Country growth, only Ireland turned its way.
In simple words, nobody thought about decreasing taxation of corporations to boost its economy… only the greatly depressed and newbie Ireland did… So strange to me.
I would simply say the ugly truth,at this point. The corporation tax is an unofficial remastering of Ireland made by USA government, which was needing:
1) a solid base to work in Europe ;
2) following the point 1, a country with English as first/native language ;
3) following points 1 and 2, possibly within 8 hours plane with a direct flight from a Capital like NYC ;
4) following all the above, possibly a Country in great depression, so desperate and cheap to allow all the investors requirements and plans without create complications ;
(5) out from the records, to stop the low-profiled and unpleasant Irish immigration to USA.
Like in the “Guess Who” game, which Country was filling all the 4 [or 5] requirements? Surprise surprise…. Ireland !
And so here we are, now Ireland is extremely expensive, especially its major cities [i.e. Dublin and Cork], and the Government is chasing an economy which grows faster than the Country and its regulations, and it’s facing an immigration which is even more fast and demanding.
So, coming back to the smaller picture, now an average town like Dublin is the European mecca of the IT, and apartments duplicated their value within the last 10 years. Rents are crazy, and the real estate business is a local mafia which is choking thousands of people every year.
More and more people are now leaving Dublin city center, purchasing a car or becoming commuters moving through public transports [extremely expensive as well ], striving for a more affordable place to live. Traffic is growing and so people’s stress.
It is strange only to me that Dublin costs more than Moscow, Berlin or Rio De Janeiro? Come on…
More information will come on this matter, going on.
“Be not afraid of going slowly, be afraid only of standing still” [Chinese proverb].