This paper addresses the run up to the recent European Union enlargement. It considers the accession of 10 Eastern European countries in view of the pre-existing economic conditions. The paper also raises the question how the new member states can tackle their deficit problems. In particular,...

This paper analyzes tax capacity and tax effort in new European Union member countries and (potential) candidate member countries. In addition, the paper explores the hypotheses of negative relationships between corruption and tax effort and between corruption and foreign direct investments....