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The Integration of Central and Eastern Europe in the European Union: Trade and Labour Market Adjustment

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Author Info

  • Erik Faucompret
  • Jozef Konings
  • Hylke Vandenbussche

    ()

Abstract

This paper analyses the economics of EU enlargement from three perspectives. First, we provide an institutional background and point out the importance of Agenda 2000. Second, we then analyse the implications for EU trade with Central and Easter European Countries (CEEC's) and in particular we discuss the EU Antidumping legislation and its implications for trade integration between the EU and CEEC's. Third, we engage in an analysis of the implications of economic integration for the EU labour market. To this end, we use a unique firm level survey of 281 Belgian firms. Our findings suggest that: (i) the EU follows a too restrictive approach to trade integration; (ii) economic integration with CEEC's leads to a reduction in the demand for low-skilled labour in small firms, however, this effect is reversed for large firms.

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File URL: http://www.econ.kuleuven.be/licos/publications/dp/dp75.pdf
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Bibliographic Info

Paper provided by LICOS - Centre for Institutions and Economic Performance, KU Leuven in its series LICOS Discussion Papers with number 7598.

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Length: 30 pages
Date of creation: 01 Sep 1998
Date of revision:
Handle: RePEc:lic:licosd:7598

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Keywords: Enlargement; economic integration; trade market;

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