2000RePEc: Research Papers in EconomicsRequires access

EU Enlargement: the Effect on Third Countries

Rodney Thom

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Abstract

This paper analyses the potential of discriminatory EU enlargement to influence these trade flows. In particular, we present evidence to suggest that enlargement to include some, but not all, of the CEEC's may have a greater potential for trade diversion with production in the new member states replacing imports from the excluded CEEC's. This evidence is presented in sections 3 and 4. Prior to that, section 2 outlines the theoretical basis for trade creation and trade diversion.

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What this paper is about

This paper analyses the potential of discriminatory EU enlargement to influence these trade flows. In particular, we present evidence to suggest that enlargement to include some, but not all, of the CEEC's may have a greater potential for trade diversion with production in the new member states replacing imports from the excluded CEEC's. This evidence is presented in sections 3 and 4. Prior to that, section 2 outlines the theoretical basis for trade creation and trade diversion.

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Available abstract

This paper analyses the potential of discriminatory EU enlargement to influence these trade flows. In particular, we present evidence to suggest that enlargement to include some, but not all, of the CEEC's may have a greater potential for trade diversion with production in the new member states replacing imports from the excluded CEEC's. This evidence is presented in sections 3 and 4. Prior to that, section 2 outlines the theoretical basis for trade creation and trade diversion.

Key concepts: Resizing, Trade diversion, Trade creation, International economics, International trade, Economics, Production (economics), Member states

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