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This study examines the ability of the central and south east European economies to withstand competitive pressures on entry to the EU. Trade with the EU largely involves the export of labour intensive goods in exchange for human capital intensive goods. The export structure of central European economies, which have attracted foreign direct investment, is improving. The Balkan economies remain dependent on exports of low wage products. Will this create permanent divisions in Europe, with implications for European security?
Author Biography
ALAN SMITH is Reader in Eastern European Economics at the School of Slavonic and East European Studies, University College London. Previous books include, The Planned Economies of Eastern Europe (1983), Russia and the World Economy (1993), Challenges for Russia Economic Reform (editor, 1995), and Russian Foreign Trade in the Transition (1996).
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