ECB: (European Central Bank): Intangible assets of multinational enterprises in Ireland and their impact on euro area GDP
The 20-country Euro Area has a population of about 348,000,000 and the EU is at 448,000,000.
The Irish population in December 2023 is estimated to have been 5,330,000.
Denmark in 2023 had a euro income per capita of €69,100. It is the most prosperous country in Europe (absen shenanigans) with a population close to 6mn.
A phantom Contract Manufacturing /Goods for processing was to be among MNC (multinational) deductions made in 2017. It was to be deleted from the headline GDP to produce a Modified General National Income (GNI*).
However, it got worse every year between 2017-2023 (see the chart above).
Irish Government may have nixed a key remedy for 'Leprechaun economics'
GDP (Gross domestic product) was falsely boosted in 2022 by €143bn and €115bn in 2023.
I deducted €115bn from the GNI* and the Irish income per capita was about €30,000 in 2023.
The notion that Ireland is among the richest in the world, would earn a Piseóg (an Irish curse) from many Irish people.
Denmark ranked 9th among the 132 economies featured in the Global Innovation Index 2023. Ireland has a small innovation base.
In 2023 Denmark's flagship drug firm Novo Nordisk, became Europe's most valuable company. In early March 2024, Novo Nordisk was the 12th most valuable company in the world, with a market cap of $604bn.
Competition for obesity drugs will bring down current high valuations enjoyed by Novo Nordisk and Eli Lilly. However, Denmark has been a pioneer in developing commercial wind power since the 1970s and Denmark is the world's fifth-largest maritime shipping nation.
It's 39 years since the birth of a significant multinational in Ireland: Ryanair the largest airline in Europe both in terms of fleet size (527 aircraft) and routes served (1,831).
Ireland once had a significant pharmaceutical company, at the turn of the century. It was founded by an American in 1969 and in the late 1990s, its value on the Irish Stock Exchange reached over €20bn. In 2001 Élan Corporation was the world's 20th-largest drug company.
In January 1984, Élan became the first Irish company to secure a public listing in America, floating on the NASDAQ. In 1990 Élan became the first Irish company to list on the New York Stock Exchange.
In 2002 a corrupt plan by executives was revealed. They had agreed on complex joint-venture agreements with 55 companies. By keeping the company’s stake in each of these vehicles below 20%, Élan was able to keep their poor results off the corporation’s income statements. There were problems with products and by 2013 several units had been sold and the company was acquired by an American firm. The price was €6.5bn.
Global Finance magazine has the 10 richest countries in the world in 2024 with Luxembourg, Ireland, and Singapore in the lead. Switzerland has a 6th ranking and Norway is at 9th. The United States is 10th.
Denmark with a population of 5,911,000 has an 11th position at $75,000 or €69,100.
GDP-PPP (Purchasing power parity) per capita ($): Luxembourg $143,304; Ireland $137,638 and Singapore is at $133,108.
Both Ireland and Luxembourg are anomalies.
About 75% of Luxembourg's workforce comprises immigrant workers or cross-border commuters. The share of cross-border workers has increased from 3% in 1961 to 47% in 2023; nearly one in two cross-border workers comes from France.