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Opening up of Eastern Europe and Eastward Enlargement of the EU. The Impact on Austria

Author

Listed:
  • Fritz Breuss
  • Fritz Schebeck

    (WIFO)

Abstract

Through simulations using the WIFO macro model it is possible to estimate the effect of changes in trade policy – i.e., of East European opening up and of EU eastward enlargement – on the Austrian economy: although competitive pressure has considerably increased in some economic sectors because of East European opening up, its effect on the Austrian economy as a whole has been beneficial since it brought increased export opportunities. The envisaged eastward enlargement of the EU would stimulate trade and growth, but, due to the Central and East European countries' low level of development, it would also involve considerable costs related to the EU's Common Agricultural Policy and to its structural policies. In the case of EU accession by Austria's four neighboring countries, i.e., Slovakia, Slovenia, the Czech Republic and Hungary, the growth advantages would prevail over the cost disadvantages in Austria.

Suggested Citation

  • Fritz Breuss & Fritz Schebeck, 1996. "Opening up of Eastern Europe and Eastward Enlargement of the EU. The Impact on Austria," Austrian Economic Quarterly, WIFO, vol. 1(2), pages 97-107, May.
    • Handle: RePEc:wfo:wquart:y:1996:i:2:p:97-107
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    File URL: https://www.wifo.ac.at/wwa/pubid/313
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    Cited by:

    1. Wolfgang Quaisser & John Hall, 2002. "Toward Agenda 2007 : Preparing the EU for Eastern Enlargement," Working Papers 240, Leibniz Institut für Ost- und Südosteuropaforschung (Institute for East and Southeast European Studies).

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