Laggards or performers? CEE vs. PIIGS countries’ catch-up with the Euro area in the last ten years
AbstractThis research paper develops a comparative analysis between the new members states of the European Union (EU) – from Central and Eastern Europe (CEE) – and PIIGS countries (Portugal, Italy, Ireland, Greece and Spain) in terms of economic convergence with the Euro area, in the last decade. In addition, the paper emphasizes the changes in the economic convergence levels determined by the recent international crisis. In order to assess these evolutions, we compute an aggregated index of economic convergence, made up of real and structural convergence indexes. Then, by using cluster methodology, we highlight the similarities between the states in the two groups, CEE and PIIGS, from the economic convergence perspective. The comparative analysis reveals that in 2010 only Estonia, Hungary and Slovenia report resembling characteristics to PIIGS group. We also report an important progress of the countries analyzed, as regards real and structural convergence with the Euro area. However, after a decade of catching-up, Romania remains by far the most distanced country from the Euro area.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 35715.
Date of creation: 15 Oct 2011
Date of revision:
real convergence; structural convergence; Central and Eastern Europe; PIIGS; clusterization;
Find related papers by JEL classification:
- F15 - International Economics - - Trade - - - Economic Integration
- C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
- F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-01-18 (All new papers)
- NEP-EEC-2012-01-18 (European Economics)
- NEP-MON-2012-01-18 (Monetary Economics)
- NEP-TRA-2012-01-18 (Transition Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
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- Elena Bojesteanu & Gabriel Bobeica, 2008. "Where Do the Newest EU Member States Stand on the Road to Monetary Integration?," International Trade and Finance Association Conference Papers 1121, International Trade and Finance Association.
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