EU enlargement
THE GREAT DEBATE about the European Unions eastward enlargement has so far been marked by a prejudiced view that is probably rooted in pressure for early accession exerted by the transition countries on the one hand, and in the EUs procrastination policy on the other. ... different factor endowments in the East and the West, and current EU policies--the countries joining the EU would be the potential winners from accession, while the current members would be the losers. ... A look at the available literature on the subject shows that quite a lot of research exists on the effect that accession would have on the KU, but that hardly any studies(n1) have been conducted in the EU or in Central and Eastern Europe dealing with its effect on the new member countries themselves. This means that the identification of pressure for EU reform due to the accession of and East European countries (CEEC) will remain uncertain. The present study deals with the economic consequences that EU eastward enlargement will have for the new member countries, and it is thus also indirectly concerned with the need for adaptation by the KU. ... We then answer the question why the Central and East European countries comparative advantages so far have not had much effect despite increasing trade liberalisation, and what this has to do with prospective EU membership. The next section discusses the effects of the most visible consequence of an eastward enlargement--transfer payments--for the new member countries. ... (n2) Against that background, we attempt to draw some conclusions on necessary adaptations within EU integration policy and for the CEE countries.