The Celtic Tiger is a nickname for the Republic of Ireland during its period of rapid economic growth between the 1990s and 2001 or 2002. Strictly speaking, the term is used for both the period of time (as in Celtic Tiger years) and the country during that period. The Celtic Tiger or Celtic Tiger economy is often also called Ireland's Economic Miracle. During this time, the Irish economy grew by 5 to 6 percent annually, dramatically raising Irish living standards to equal and eventually surpass those of many states in the rest of Western Europe.

Many economists give credit for Ireland's growth to a low corporate taxation rate (10 to 12.5 percent throughout the late 1990s) and subsidies called transfer payments from the more developed members of the European Union that were as high as 7% of gross national product (GNP). This aid was used to increase investment in the education system (university tuition is free) and physical infrastructure. These investments increased the productive capacity of the Irish economy and made it more attractive to high tech employers (Microsoft, Intel, etc.).

During the Celtic Tiger period, Ireland was transformed from one of the poorest countries in Western Europe to one of the wealthiest. After successive governments led by weak and often corrupt politicians, the country was rapidly transformed to become one of Europe's richest nations. The major consequences of the Celtic Tiger years included:

• Rise of wages and living standard

• Fall of unemployment: from 18% to 5%

• Large investment in modernising Irish infrastructure and city streetscapes

• Stop of emigration trends; Ireland even started to become a destination for many immigrants: expanding multiculturalism, particularly in the Dublin area

• Decrease of the low confidence and self-doubt that plagued Irish society for decades

• Many young people left the rural countryside, to live and work in urban centres.

• Growing wealth was blamed for rising crime levels among youths, particularly increased alcohol-related violence

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1. The text was extracted from Wikipedia The Free Encyclopedia under GNU Free Documentation Licence.