The European Union (EU) is facing the challenge of enlargement to almost double its current size. This change has strong implications for the balance of power among member states. Building on the work of Shapley (1977) and Owen (1972), we present a measure of power that is based on players' preferences and number of votes. We then apply this measure to the current and future EU states to see who wields the most power now and who is likely to wield power after enlargement. Further we show how a country's power can change based on the preferences of the agenda setter, which, in this case, is the European Commission.
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Find related papers by JEL classification: C71 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Cooperative Games D72 - Microeconomics - - Analysis of Collective Decision-Making - - - Models of Political Processes: Rent-seeking, Elections, Legislatures, and Voting Behavior D78 - Microeconomics - - Analysis of Collective Decision-Making - - - Positive Analysis of Policy-Making and Implementation H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
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Alberto Alesina & Ignazio Angeloni & Ludger Schuknecht, 2005.
"What does the European Union do?,"
Public Choice,
Springer, vol. 123(3), pages 275-319, June.
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