This paper investigates the appropriate exchange rate regimes, both prior to and following European Union accession, for those former centrally planned Central and Eastern European countries that are currently candidates for full membership in the European Union (1). The exchange rate regime is...

The forces of the market and systems competition bring about economic and social convergence in Europe. There is no need for social policies at the EU level. Social harmonisation would distort migration flows and slow down the speed of economic convergence. National welfare states will be...

Advanced industrial countries have been exhibiting a steady decline of the labor income shares in the last two decades. We explain this phenomenon by resorting to the old Stolper-Samuelson theorem. The conclusions concerning the impact of free trade on the income distribution are unambiguous in...

The paper studies the role of international implications after EU enlargement. Based on a formal model with migration costs for both capital and labor, it predicts a two-sided migration from the new to the old EU countries which is later reversed. As the migration pattern chosen by market forces...

The envisaged EU enlargement will lead to a redirection of Structural and Cohesion Funds expenditures from current to new EUmembers. This redistribution of funds makes the accession countries even more attractive as a location of FDI. Using a logistic regressions approach, this paper shows that...