Synopses & Reviews
The contributors to this volume discuss the lack of competitiveness of Eastern countries and their need for structural adjustment. The main issues considered are the problem of price convergence in integrated markets, the positive approach to foreign capital inflows, the problem of the current account deficit and the direction of strucural change. The book consists of a wide range of theoretical approaches--from supply-side to more demand-side orientations.
Synopsis
Acknowledgements Introduction Notes on Contributors to the Volume PART I: PRICE CONVERGENCE, DEMAND AND GROWTH Effects of Accession to the EU on Prices, Wages and Aggregate Demand in CEE Countries; H.Gabrisch Macroeconomic Problems of Trade Liberalisation and EU Eastern Enlargement; K.Laski Non-Tradable Goods and Deviations Between Purchasing Power Parities and Exchange Rates: Evidence from the 1990 European Comparison Project; L.Podkaminer PART II: EXCHANGE RATE SYSTEMS, CAPITAL AND TRANSFER INFLOWS Real Exchange Rates and Growth After the EU Accession: the Problems of Transfer and Capital Inflow Absorption; W.M.Orlowski Capital Inflows and Convertibility in the Transforming Economies of Central Europe; L.T.Orlowski Exchange Rate Policy, Fiscal Austerity and Integration Prospects: The Hungarian Case; J.H lscher and J.Stephan
Synopsis
What will joining the EU mean for the new Eastern member states and their economies? This book offers a detailed study of the macroeconomic and structural adjustment burden. It envisages a real currency appreciation stemming from price convergence, capital inflows and weak structural change. The widespread belief that an Eastern enlargement of the Union would be overwhelmingly to the detriment of the present EU (budgetary costs, locational decisions, trade deficits) is rejected. The authors discuss the lack of competitiveness of Eastern countries and their need for structural adjustments (in the financial sector, in agriculture, and in manufacturing) in order for them to survive and thrive in their new economic environment.
About the Author
Hubert Gabrisch is Head of the Central and East European Division and
Rüdiger Pohl is President of the Institute for Economic Research Halle.
Table of Contents
Introduction *
Part I: Price Convergence, Demand and Growth * Effects of Accession to EU on Prices, Wages and Aggregate Deman in CEE Countries--Hubert Gabrisch * Macroeconomic Problems of Trade Liberalization and EU Eastern Enlargement--Kazimierz Laski * Non-Tradable Goods and Deviations Between Purchasing Power Parties and Exchange Rates: Evidence from the 1900 European Comparison Project--Leon Podkaminer *
Part II: Exchange Rate Systems, Capital and Transfer Inflows * Real Exchange Rates and Growth After the EU Accession: The Problems of Transfer and Capital Inflow Absorption--Witold M. Orlowski * Capital Inflows and Convertibility in the Transforming Economics of Central Europe--Lucjan T. Orlowski * Exchange Rate Policy, Fiscal Austerity and Integration Prospects: The Hungarian Case--Jens Hölscher & Johannes Stephan *
Part III: Sectoral Adjustment Issues * Adjusting the Common Agricultural Policy for an EU Eastern Enlargement: Alternatives and Impacts on the Central European Associates--Klaus Frohberg & Monika Hartmann * Changes in Production Studtures after Accession: Experiences from the Southern Enlargemetn of the EU and Prospects for Eastern Enlargement--Claudia Löhnig * Index