Demographic Transition, Migration and Regional Economic Development in Ireland

This paper has given an overview of the relationship between economic and demographic variables in the Republic of Ireland at the national and county/regional level. While the recent Celtic Tiger period paints a very benign picture at the national level, a different picture emerges at the regional level. Despite strong economic growth in all regions, there is a trend of divergence in terms of output generation. While this is not pronounced when considering income or unemployment, the pattern of demographic development suggests that the transition from a rural agricultural economy to a more urban industrial/service economy has not been completed in some counties. This is suggested by the migration patterns as well as the relative population growth performance. The fact that there appears to be divergence in skill levels may be the underlying factor for the divergence in output levels. This of course may have serious long-term consequences since new investment is more likely to locate where a highly skilled labour force resides. Thus the disparities that already exist may be reinforced in the future.