IDEAS home Printed from
   My bibliography  Save this article

Advantages and drawbacks of EU membership - the structural dimension


  • Hubert Gabrisch
  • Klaus Werner


Trade liberalization is often considered a sufficient prerequisite for inducing desirable structural adjustment. Entry of transition economies (TEs) into the European Union (EU) should induce structural adjustments at the firm level to move trade and production profiles closer to the EU's patterns. At the macroeconomic level this should manifest itself in a rise in intra-industry trade based on horizontal product differentiation. Trade liberalization in TEs to date provides little empirical support for such a process as there are strong signs of persistent interindustry trade and vertical product differentiation. This may have come about because of the minimalist role of government in TEs. But also restricted access to foreign capital, information asymmetries, and the persistent lack of well-functioning markets provide strong arguments in favor offormulating industrial policies to strengthen the competitiveness of manufacturing firms rather than the regional approach that is more typical of the EU. The EU's legal framework leaves room for designing such a policy with subsidies, provided it is adjudicated as compatible with the EU's competition policy.

Suggested Citation

  • Hubert Gabrisch & Klaus Werner, 1998. "Advantages and drawbacks of EU membership - the structural dimension," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 40(3), pages 79-103, September.
  • Handle: RePEc:pal:compes:v:40:y:1998:i:3:p:79-103

    Download full text from publisher

    File URL:
    File Function: Link to full text PDF
    Download Restriction: Access to full text is restricted to subscribers.

    File URL:
    File Function: Link to full text HTML
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Fernando Luengo & Ignacio Álvarez, 2007. "Integración Comercial y Dinámica Económica: España ante el Reto de la Ampliación," Working Papers del Instituto Complutense de Estudios Internacionales 0702, Universidad Complutense de Madrid, Instituto Complutense de Estudios Internacionales.
    2. Ansgar Belke & Martin Hebler, 2000. "EU enlargement and labour markets in the CEECs," Intereconomics: Review of European Economic Policy, Springer;ZBW - Leibniz Information Centre for Economics;Centre for European Policy Studies (CEPS), vol. 35(5), pages 219-230, September.
    3. Stephan, Johannes, 2000. "EU-Integration and Development - Prospects of CEECs - The Productivity-Gap and Technological Structural Change," IWH Discussion Papers 112, Halle Institute for Economic Research (IWH).
    4. Ansgar Belke & Martin Hebler, 2002. "Towards a European Social Union: Impacts on Labor Markets in the Acceding Countries," Constitutional Political Economy, Springer, vol. 13(4), pages 313-335, December.
    5. Károly Attila SOÓS, 2013. "The Role of Intra-Industry Trade in the Industrial Upgrading of the 10 CEECs New Members of the European Union," KIER Working Papers 868, Kyoto University, Institute of Economic Research.
    6. repec:ucm:wpaper:02-07 is not listed on IDEAS
    7. Soós, Károly Attila, 2002. "Az átmeneti gazdaságok EU-exportja nemzetközi összehasonlításban, 1993-2000 [International comparison of EU exports by transitional economies, 1993-2000]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(12), pages 1063-1080.

    More about this item


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pal:compes:v:40:y:1998:i:3:p:79-103. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla) or (Springer Nature Abstracting and Indexing). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.