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Eastern Enlargement of the European Union - Transition in applicant countries and evaluation of the economic prospects with a dynamic CGE-model

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  • Vaittinen, Risto

Abstract

In this study the economic implications of eastward enlargement are analyzed using a multi-regional, dynamic general equilibrium model. EU's eastern enlargement is, in one respect, conventional regional integration where new entrants joins a customs union. In the common trade policy an important aspect is the specific features of the common agricultural policies of the EU. Enlargements also entails the adoption of common market institutions and legislation for the new entrants. This aspect of integration consolidates the reforms that has been taken place in the former planned economies in Central and Eastern Europe. Membership in EU provides also unconditional access to European common markets. These facts are expected to increase the business confidence in the area and lower the required rate of return on investments, which will stimulate growth in the new members.

Suggested Citation

  • Vaittinen, Risto, 2000. "Eastern Enlargement of the European Union - Transition in applicant countries and evaluation of the economic prospects with a dynamic CGE-model," Research Reports 64, VATT Institute for Economic Research.
    • Handle: RePEc:fer:resrep:64
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    File URL: https://www.doria.fi/handle/10024/148483
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    Citations

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    Cited by:

    1. Pekka Sulamaa & Mika Widgrén, 2004. "EU-Enlargement and Beyond: A Simulation Study on EU and Russia Integration," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 31(4), pages 307-323, December.
    2. Pekka Sulamaa & Mika Widgrén, 2005. "Economic Effects of Free Trade between the EU and Russia," Economics Working Papers 036, European Network of Economic Policy Research Institutes.
    3. Kaitila, Ville, 2007. "Free Trade between the EU and Russia - Sectoral Effects and Impacts on Northwest Russia," Discussion Papers 1087, The Research Institute of the Finnish Economy.
    4. Jaakko Kiander & Risto Vaittinen & Tiiu Paas, 2002. "The Eastern Enlargement of the Eurozone and Labour Market Adjustment," Eastward Enlargement of the Euro-zone Working Papers wp06, Free University Berlin, Jean Monnet Centre of Excellence, revised 01 Aug 2002.
    5. Ruotoistenmäki, Riikka & Babykina, Evgenia, 2002. "The Actors and the Financial Affairs of the Northern Dimension," Research Reports 86, VATT Institute for Economic Research.

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