A basic result of new economic geography (NEG) models is that the proximity to consumer markets impacts wages and employment within regions. The ongoing process of European integration, being targeted on the reduction of barriers to trade and factor mobility, has presumably changed relative...

EU enlargement is supposed to entail profound impact on the location of economic activities in Europe. Although there is concern about the implications of enlargement for regional disparities in the EU, corresponding empirical results are still rare. The objective of this analysis is to provide...