The aim of this chapter is to provide empirically supported evidence regarding regional development and inequalities in the European Union by focusing specifically on the Central and Eastern European countries. The process of European integration has impacted on the growth potential of all...

We consider a budget-constrained mechanism designer who selects an optimal set of projects to maximize her utility. A project's cost is private information and its value for the designer may vary. In this allocation problem, the selection of projects - both which and how many - is endogenously...