Oireachtas Joint and Select Committees

Tuesday, 12 May 2015

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

All-Island Economy: Discussion

1:30 pm

Mr. Michael Burke:

Historically, there are any number of examples. Many countries have been unified sometimes after a period of colonialism. While I do not know of one, there may be the odd one or two where the situation has not been improved by unification. In general, the simple act of unification is an economic boon for the reasons I advanced earlier.

In the more recent period in Europe, particularly in eastern Europe, we have seen countries break up. Arguably, some of them were yoked together bureaucratically but, in general, the economic picture in eastern Europe has not been bright, although there are exceptions. Part of the argument about the division of labour is that it takes place both in the home market and the international market. The more collaboration and co-operation we can achieve, the greater the scope for the division of labour, which is the primary factor driving prosperity. With any US car, only 35% of it is made in the US, with the rest made in many other countries around the world. There is a general tendency for trade to be internationalised. Having barriers between natural economic units like the two jurisdictions on this island makes no sense in that general environment.

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