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Does a Wait and See Approach to European Integration Shelter the Industrial Base of Small Countries?

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Author Info

  • Forslid, Rikard

    ()
    (Dept. of Economics, Stockholm University)

Abstract

This paper compares the effect of economic integration on industry location for a small country that goes ahead with an integration process, such as the European, and a country adopting a wait and see strategy. Theoretical results, derived from a three-region new economic geography model, are compared to stylised facts on European manufacturing production. The result is that further integration could strengthen the industrial base of small countries that go ahead with integration.

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File URL: http://www2.ne.su.se/paper/wp04_02.pdf
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Bibliographic Info

Paper provided by Stockholm University, Department of Economics in its series Research Papers in Economics with number 2004:2.

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Length: 16 pages
Date of creation: 22 Mar 2004
Date of revision:
Handle: RePEc:hhs:sunrpe:2004_0002

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Postal: Department of Economics, Stockholm, S-106 91 Stockholm, Sweden
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Web page: http://www.ne.su.se/
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Keywords: Agglomeration; economic integration; multiregion-model;

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