ABSTRACT
European advocates of the freedom philosophy are rarely enthusiastic about their own continent—a world center for high taxes and overregulated markets. Ireland—believed by many to be a poor nation of farmers—has transformed into the second wealthiest member state of the European Union (EU). Ireland’s contrast with the rest of the EU is stark. In the EU, unemployment is close to 10 percent. The tax burden is heavy. The labor market is massively regulated, and social mobility is low. Meanwhile, Ireland has moved in the opposite direction and has even outperformed many of the east Asian tiger economies. The economy depended on agriculture and exports to its rich neighbor, Great Britain. Except for that, Ireland had little trade with the world outside. The nations with the most booming economies are not in Europe. Russia, China, and India are embracing capitalism, the flat tax, privatization of government assets, and private-property rights.
