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Craggy Island isn't a country. Ted wants Mrs Doyle to say he's the best priest in the whole of Ireland, and the joke is his ridiculous overreaction to her not quite saying that.
DPS: I don't agree with the Real Life example about restaurant or retail workers telling a customer that an item is popular is a valid example of this trope. I have a lot of experience working in retail stores, and often a customer will ask something along the lines of "what's best" or "which of these 2 is better" and that's so subjective that all I can really say is which one we sell the most of, i.e., which one is most popular. This is particularly true if the customer is asking about a type of product I don't use in the first place—for example, I've lived pretty much my entire adult life in apartments, so I don't personally use any lawn care products, so I can't recommend any of them, only tell the customers which are most popular if they ask, f.e., which weed and feed is "best". If they ask more specific questions, such as, "Is this weed and feed safe to use on such-and-such type of grass" I have enough product knowledge to answer that, but not tell you which brand is "best".
Well, I work at an ice creamery franchise and it's regularly part of the employee training program we give to newbies. They are told to lie at all costs regarding a flavor they don't themselves like (particularly if they don't even like ice cream or, like this troper, are lactose-intolerant and therefore cannot partake without the assistance of some rather chalky pills).
Other warning signs include "It's a 'love it or hate it' kind of thing!" (meaning most of us hate it but someone further up the totem pole must have loved it because it got made, after all).
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