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Hungarian-Romanian Cross-Border Economic Co-Operation


Author Info

  • Gábor HUNYA

    (WIIW in Vienna, Austria)

  • Álmos TELEGDY

    (Central European University in Budapest, Hungary)


The differences in the transformation process have resulted in a diverging economic development in Hungarian and Romanian regions while their contacts have intensified. The less developed part of a more developed country meets the more developed part of a lesser-developed country. A firm- survey carried out on the two sides of the border between Hungary and Romania shows that firms take advantage of the closeness of the other region, at least in terms of foreign trade. We find no evidence for the migration of the workforce from the lower-salary region toward the higher-salary one. The sample supports the hypothesis that Hungarians from the border region invest in the nearby Romanian region. Although the time of EU accession is far away compared to the time-horizon of firms, substantial changes can be foreseen for the time when Hungary becomes a member but not Romania. Hungary may lose its attractive- ness for Romanian firms as a bridgehead and easily accessible country.

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Bibliographic Info

Article provided by Region et Developpement, LEAD, Universite du Sud - Toulon Var in its journal Région et Développement.

Volume (Year): 18 (2003)
Issue (Month): ()
Pages: 13-30

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Handle: RePEc:tou:journl:v:18:y:2003:p:13-30

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Cited by:
  1. Valentin Toader, 2006. "The Impact Of Romanian-Hungarian Commerce On Romanian Western Boundary Counties," JOURNAL STUDIA UNIVERSITATIS BABES-BOLYAI NEGOTIA, Babes-Bolyai University, Faculty of Business.


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