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===Partition=== {{Main|Partition of Ireland}} In December 1921, the [[Anglo-Irish Treaty]] was concluded between the British government and representatives of the [[Second Dáil]]. It gave Ireland complete independence in its home affairs and practical independence for foreign policy, but an opt-out clause allowed [[Northern Ireland]] to remain within the United Kingdom, which it immediately exercised. Additionally, Members of the [[Third Dáil|Free State Parliament]] were required to swear [[Oath of Allegiance (Ireland)|an oath of allegiance to the Constitution of the Irish Free State]] and make a statement of faithfulness to the king.<ref>{{cite book |last=Kee |first=Robert |title=The Green Flag: A History of Irish Nationalism |publisher=Weidenfeld & Nicolson |date=1972 |location=London |pages=719–748 |isbn=978-0-297-17987-0}}</ref> Disagreements over these provisions led to a split in the nationalist movement and a subsequent [[Irish Civil War]] between the new government of the [[Irish Free State]] and those opposed to the treaty, led by [[Éamon de Valera]]. The civil war officially ended in May 1923 when de Valera issued a cease-fire order.<ref>{{cite journal |last=Gwynn |first=Stephen |title=Ireland Since the Treaty |journal=Foreign Affairs |volume=12 |issue=2 |date=January 1934 |page=322 |doi=10.2307/20030588|jstor=20030588}}</ref> ====Independence==== {{main|History of the Republic of Ireland|Economy of the Republic of Ireland}} [[File:Anglo-Irish Treaty Griffith annotated2.gif|thumb|Annotated page from the [[Anglo-Irish Treaty]] that established the [[Irish Free State]] and independence for 26 out of 32 [[Counties of Ireland|Irish counties]]]] During its first decade, the newly formed Irish Free State was governed by the victors of the civil war. When de Valera achieved power, he took advantage of the [[Statute of Westminster 1931|Statute of Westminster]] and [[Edward VIII abdication crisis|political circumstances]] to build upon inroads to greater sovereignty made by the previous government. The oath was abolished and in 1937 a new constitution was adopted.<ref name="autogenerated34"/> This completed a process of gradual separation from the British Empire that governments had pursued since independence. However, it was not until 1949 that the state was declared, officially, to be the [[Republic of Ireland]]. [[Irish neutrality|The state was neutral]] during [[The Emergency (Ireland)|World War II]], but offered [[Irish neutrality during World War II|clandestine assistance to the Allies]], particularly in the potential defence of Northern Ireland. Despite their country's neutrality, approximately 50,000<ref>{{cite news |last=Connolly |first=Kevin |title=Irish who fought on the beaches |publisher=BBC News |date=1 June 2004 |url=http://news.bbc.co.uk/2/hi/uk_news/northern_ireland/3749629.stm |access-date=8 November 2008 |archive-date=17 December 2008 |archive-url=https://web.archive.org/web/20081217024027/http://news.bbc.co.uk/2/hi/uk_news/northern_ireland/3749629.stm |url-status=live }}</ref> volunteers from independent Ireland joined the British forces during the war, four being awarded [[Victoria Crosses]]. The [[Abwehr|German intelligence]] was also active in Ireland.<ref name="autogenerated695">Hull, Mark: "The Irish Interlude: German Intelligence in Ireland, 1939–1943", ''Journal of Military History'', Vol. 66, No. 3 (July 2002), pp. 695–717</ref> Its operations ended in September 1941 when [[Garda Síochána|police]] made arrests based on surveillance carried out on the key diplomatic legations in Dublin. To the authorities, counterintelligence was a fundamental line of defence. With a regular army of only slightly over seven thousand men at the start of the war, and with limited supplies of modern weapons, the state would have had great difficulty in defending itself from invasion from either side in the conflict.<ref name="autogenerated695"/><ref>{{cite book |last=Carroll |first=Joseph T. |title=Ireland in the War Years 1939–1945 |publisher=International Scholars Publishers |date=2002 |location=San Francisco |page=190 |isbn=978-1-57309-185-5}}</ref> Large-scale emigration marked most of the post-WWII period (particularly during the 1950s and 1980s), but beginning in 1987 the economy improved, and the 1990s saw the beginning of substantial economic growth. This period of growth became known as the [[Celtic Tiger]].<ref name=clancy3>{{cite book|last1=Clancy |first1=Patrick |first2=Sheelagh |last2=Drudy |first3=Kathleen |last3=Lynch |first4=Liam |last4=O'Dowd |title=Irish Society: Sociological Perspectives |pages=[https://archive.org/details/irishsociety00patr/page/68 68–70] |publisher=Institute of Public Administration |date=1997 |isbn=978-1-872002-87-3 |url=https://archive.org/details/irishsociety00patr/page/68 }}</ref> The Republic's real GDP grew by an average of 9.6% per annum between 1995 and 1999,<ref>{{cite book |first=Doris |last=Schmied |title=Winning and Losing: the Changing Geography of Europe's Rural Areas |publisher=Ashgate |location=Chippenham, UK |date=2005 |page=234 |isbn=978-0-7546-4101-8}}</ref> in which year the Republic joined the [[euro]]. In 2000, it was the sixth-richest country in the world in terms of GDP per capita.<ref>{{cite book |publisher=[[Organisation for Economic Co-operation and Development]] (OECD) |title=The Future of International Migration to OECD Countries |location=Paris |page=67 |url=https://books.google.com/books?id=t-MXbmt8J5YC&q=%22The+Future+of+International+Migration+to+OECD+Countries%22 |isbn=978-92-64-04449-4 |year=2009 |access-date=26 October 2020 |archive-date=5 February 2021 |archive-url=https://web.archive.org/web/20210205175831/https://books.google.com/books?id=t-MXbmt8J5YC&q=%22The+Future+of+International+Migration+to+OECD+Countries%22 |url-status=live }}</ref> Historian [[R. F. Foster (historian)|R. F. Foster]] argues the cause was a combination of a new sense of initiative and the entry of American corporations. He concludes the chief factors were low taxation, pro-business regulatory policies, and a young, tech-savvy workforce. For many multinationals, the decision to do business in Ireland was made easier still by generous incentives from the [[IDA Ireland|Industrial Development Authority]]. In addition [[European Union]] membership was helpful, giving the country lucrative access to markets that it had previously reached only through the United Kingdom, and pumping huge subsidies and investment capital into the Irish economy.<ref>R. F. Foster, ''Luck and the Irish: A Brief History of Change 1970–2000'' (2007), pp 7–36</ref> Modernisation brought secularisation in its wake. The traditionally high levels of religiosity have sharply declined. Foster points to three factors: First, Irish feminism, largely imported from America with liberal stances on contraception, abortion and divorce, undermined the authority of bishops and priests. Second, the mishandling of the paedophile scandals humiliated the Church, whose bishops seemed less concerned with the victims and more concerned with covering up for errant priests. Third, prosperity brought hedonism and materialism that undercut the ideals of saintly poverty.<ref>Foster, ''Luck and the Irish'' pp 37–66.</ref> The [[Post-2008 Irish economic downturn|financial crisis]] that began in 2008 dramatically ended this period of boom. GDP fell by 3% in 2008 and by 7.1% in 2009, the worst year since records began (although earnings by foreign-owned businesses continued to grow).<ref>{{cite news |first=Shawn |last=Pogatchnik |title=Ireland's Economy Suffered Record Slump in 2009 |work=[[Bloomberg BusinessWeek]] |date=25 March 2010 |access-date=6 April 2010 |url= http://www.businessweek.com/ap/financialnews/D9ELOCOG1.htm |archive-url= https://web.archive.org/web/20150208020158/http://www.businessweek.com/ap/financialnews/D9ELOCOG1.htm |archive-date=8 February 2015}}</ref> The state has since experienced deep recession, with unemployment, which doubled during 2009, remaining above 14% in 2012.<ref>{{cite web |title=Measuring Ireland's Progress 2011 |website=CSO.ie |publisher=[[Central Statistics Office (Ireland)|Central Statistics Office]] |date=October 2012 |page=36 |url=http://www.cso.ie/en/media/csoie/releasespublications/documents/otherreleases/2011/measuringirelandsprogress2011.pdf |issn=1649-6728 |access-date=30 August 2015 |archive-date=23 September 2015 |archive-url=https://web.archive.org/web/20150923223057/http://www.cso.ie/en/media/csoie/releasespublications/documents/otherreleases/2011/measuringirelandsprogress2011.pdf |url-status=live }}</ref> ====Northern Ireland==== {{Main|History of Northern Ireland|Economy of Northern Ireland}} Northern Ireland resulted from the division of the United Kingdom by the [[Government of Ireland Act 1920]], and until 1972 was a self-governing jurisdiction within the United Kingdom with its own parliament and prime minister. Northern Ireland, as part of the United Kingdom, was not neutral during the Second World War, and [[Belfast Blitz|Belfast suffered four bombing raids]] in 1941. [[Conscription]] was not extended to Northern Ireland, and roughly an equal number volunteered from Northern Ireland as volunteered from the Republic of Ireland. [[File:Carson signing Solemn League and Covenant.jpg|thumb|[[Edward Carson]] signing the [[Ulster Covenant|Solemn League and Covenant]] in 1912, declaring opposition to [[Irish Home Rule bills|Home Rule]] "using all means which may be found necessary"]] Although Northern Ireland was largely spared the strife of the civil war, in the decades that followed partition there were sporadic episodes of inter-communal violence. Nationalists, mainly Roman Catholic, wanted to unite Ireland as an independent republic, whereas unionists, mainly Protestant, wanted Northern Ireland to remain in the United Kingdom. The Protestant and Catholic communities in Northern Ireland voted largely along [[sectarian]] lines, meaning that the government of Northern Ireland (elected by [[Plurality electoral system|"first-past-the-post"]] from 1929) was controlled by the [[Ulster Unionist Party]]. Over time, the minority Catholic community felt increasingly alienated with further disaffection fuelled by practices such as [[gerrymandering]] and discrimination in housing and employment.<ref name=whyte>{{cite book |chapter-url=http://cain.ulst.ac.uk/issues/discrimination/whyte.htm |chapter=How much discrimination was there under the Unionist regime, 1921–1968? |last=Whyte |first=John |editor-first1=Tom |editor-last1=Gallagher |editor-first2=James |editor-last2=O'Connell |title=Contemporary Irish Studies |isbn=0-7190-0919-7 |publisher=[[Manchester University Press]] |via=[[Conflict Archive on the Internet]] |year=1983 |access-date=30 April 2019 |archive-date=14 May 2011 |archive-url=https://web.archive.org/web/20110514131114/http://cain.ulst.ac.uk/issues/discrimination/whyte.htm |url-status=live }}</ref><ref>{{cite book |url=http://cain.ulst.ac.uk/hmso/cmd380.htm |title=Fair Employment in Northern Ireland |isbn=0-10-103802-X |year=1988 |access-date=23 October 2008 |author=Northern Ireland Office |publisher=Her Majesty's Stationery Office |via=Conflict Archive on the Internet |author-link=Northern Ireland Office |archive-date=4 January 2012 |archive-url=https://web.archive.org/web/20120104025822/http://cain.ulst.ac.uk/hmso/cmd380.htm |url-status=live }}</ref><ref>{{cite web |url=http://cain.ulst.ac.uk/events/crights/nicra/nicra78.htm |title='We Shall Overcome' ... The History of the Struggle for Civil Rights in Northern Ireland 1968–1978 |date=1978 |publisher=Northern Ireland Civil Rights Association |access-date=23 October 2008 |via=Conflict Archive on the Internet |archive-date=31 May 2011 |archive-url=https://web.archive.org/web/20110531024030/http://cain.ulst.ac.uk/events/crights/nicra/nicra78.htm |url-status=live }}</ref> In the late 1960s, nationalist grievances were aired publicly in mass civil rights protests, which were often confronted by [[Ulster loyalism|loyalist]] counter-protests.<ref>{{Cite book |last=Taylor |first=Peter |date=1997 |title=Provos: The IRA and {{lang|ga|Sinn Féin}} |pages=33–56 |location=London |publisher=Bloomsbury Publishing |isbn=978-0-7475-3392-4}}</ref> The government's reaction to confrontations was seen to be one-sided and heavy-handed in favour of unionists. Law and order broke down as unrest and inter-communal violence increased.<ref>{{Cite book |last=Taylor |first=Peter |date=1997 |title=Provos: The IRA and {{lang|ga|Sinn Féin}} |pages=56–100 |location=London |publisher=Bloomsbury Publishing |isbn=978-0-7475-3392-4}}</ref> The Northern Ireland government requested the [[British Army]] to aid the police and protect the [[Irish Nationalist]] population. In 1969, the paramilitary [[Provisional Irish Republican Army|Provisional IRA]], which favoured the creation of a [[united Ireland]], emerged from a split in the [[Irish Republican Army (1922–1969)|Irish Republican Army]] and began a campaign against what it called the "British occupation of the six counties".{{citation needed|date=October 2019}} Other groups, both the unionist and nationalist participated in violence, and a period known as "[[the Troubles]]" began. More than 3,600 deaths resulted over the subsequent three decades of conflict.<ref>{{Cite news |url=http://news.bbc.co.uk/2/hi/uk_news/northern_ireland/467904.stm |title=Turning the pages on lost lives |publisher=BBC News |access-date=4 January 2010 |date=8 October 1999 |archive-date=17 December 2008 |archive-url=https://web.archive.org/web/20081217024018/http://news.bbc.co.uk/2/hi/uk_news/northern_ireland/467904.stm |url-status=live }}</ref> Owing to the civil unrest during the Troubles, the British government suspended home rule in 1972 and imposed [[Direct rule over Northern Ireland|direct rule]]. There were several unsuccessful attempts to end the Troubles politically, such as the [[Sunningdale Agreement]] of 1973. In 1998, following a ceasefire by the Provisional IRA and multi-party talks, the [[Good Friday Agreement]] was concluded as a treaty between the British and Irish governments, annexing the text agreed in the multi-party talks. The substance of the Agreement (formally referred to as the Belfast Agreement) was later endorsed by referendums in both parts of Ireland. The Agreement restored self-government to Northern Ireland on the basis of power-sharing in a regional [[Northern Ireland Executive|Executive]] drawn from the major parties in a new [[Northern Ireland Assembly]], with entrenched protections for the two main communities. The Executive is jointly headed by a [[First Minister and deputy First Minister]] drawn from the unionist and nationalist parties. Violence had decreased greatly after the Provisional IRA and loyalist ceasefires in 1994, and in 2005, the Provisional IRA announced the end of its armed campaign and an [[Independent International Commission on Decommissioning|independent commission]] supervised its disarmament and that of other nationalist and unionist paramilitary organisations.<ref>{{cite web |url=http://cain.ulst.ac.uk/events/peace/decommission/iicd190106.pdf |first1=Tauno |last1=Nieminen |first2=John |last2=de Chastelain |author3=Andrew D. Sens |title=Independent International Commission on Decommissioning |access-date=15 October 2008 |archive-date=11 March 2011 |archive-url=https://web.archive.org/web/20110311172621/http://cain.ulst.ac.uk/events/peace/decommission/iicd190106.pdf |url-status=live }}</ref> The Assembly and power-sharing Executive were suspended several times but were restored again in 2007. In that year the British government officially ended its military support of the police in Northern Ireland ([[Operation Banner]]) and began withdrawing troops. On 27 June 2012, Northern Ireland's deputy first minister and former IRA commander, [[Martin McGuinness]], shook hands with Queen Elizabeth II in Belfast, symbolising reconciliation between the two sides.<ref>{{cite web |url=https://www.bbc.com/news/uk-northern-ireland-18607911 |title=Queen and Martin McGuinness shake hands |publisher=BBC News |date=27 June 2012 |access-date=22 June 2021 |archive-date=20 August 2021 |archive-url=https://web.archive.org/web/20210820133101/https://www.bbc.com/news/uk-northern-ireland-18607911 |url-status=live }}</ref>
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