Europe's Economy Looks East: Implications for Germany and the European Union

In their transition from the legacy of Communism, Central and Eastern European countries (CEECs) are seeking to reduce the income gap that remains the major barrier to full European integration. The essays in this volume derive from a conference held at the American Institute for Contemporary German Studies in Washington DC, on May 15-16 1995, and present general equilibrium calculations of the world wide effects of trade liberalization between CEECs and the European Union (EU) on real wages and welfare; analysis of trade in 'sensitive' sectors; and measurement of Germany's role in the transition. Simulations analyse the effects of CEEC macroeconomic policies on the transition process. Other essays examine the effects of privatization, labour migration from the East, and alternative approaches to integration of CEECs into the EU, including quick entry, variable geometry and free trade area. Economists and policy-makers will value the collection's innovative quantitative assessments and presentation of distinct alternatives.