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In search for accumulative effects of European economic integration

  • Brodzicki Tomasz

    (University of Gdansk, Faculty of Economics, Economics of European Integration Department)

The forthcoming eastern enlargement of the European Union is generally perceived to constitute one of the most significant challenges to the process of European integration so far. The economic impact of the enlargement is likely to be considerable. The enlargement, as any other previous episodes of integration deepening or widening, is going to trigger various static as well as dynamic effects. Due to the increase in internal heterogeneity of the economic block, the effects are likely to be spatially asymmetric. From the point of view of both existing as well as acceding member states the dynamic growth or accumulative effect understood as a permanent change in the long-term average growth rate of GDP per capita is especially appealing. However, theoretical and empirical studies are rather inconclusive as to the very existence, direction and significance of long-term growth effects of economic integration in general and of European integration process in particular. The present study attempts to shed some light on the issue. The study utilizes a two-way panel data approach to analyze a balanced panel of data composed of a group of 20 developed countries covering eight consecutive subperiods between 1960-1999.

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Paper provided by EconWPA in its series International Trade with number 0310005.

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Length: 15 pages
Date of creation: 15 Oct 2003
Date of revision:
Handle: RePEc:wpa:wuwpit:0310005
Note: Type of Document - pdf; prepared on WinXP; to print on standard; pages: 15. Paper presented at the Second Annual Conference of the European Economic and Finance Society ”European Integration: Real and Financial Aspects”, Bologna, 14-16 May 2003.
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  1. Magnus Henrekson & Johan Torstensson & Rasha Torstensson,, . "Growth Effects of European Integration," Discussion Papers 96/1, University of Nottingham, CREDIT.
  2. Vanhoudt, Patrick, 1998. "Did the European Unification Induce Economic Growth? In Search of Scale-Effects and Persistent Changes," SSE/EFI Working Paper Series in Economics and Finance 270, Stockholm School of Economics.
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  8. Bennett T. McCallum, 1996. "Neoclassical vs. Endogenous Growth Analysis: An Overview," NBER Working Papers 5844, National Bureau of Economic Research, Inc.
  9. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
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  12. Athanasios Vamvakidis, 1999. "Regional Trade Agreements or Broad Liberalization: Which Path Leads to Faster Growth?," IMF Staff Papers, Palgrave Macmillan, vol. 46(1), pages 3.
  13. Haveman, Jon D & Lei, Vivian & Netz, Janet S, 2001. "International Integration and Growth: A Survey and Empirical Investigation," Review of Development Economics, Wiley Blackwell, vol. 5(2), pages 289-311, June.
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