Economic integration in Europe will have significant effects not only on participating countries, but also on countries remaining outside of the EU-structures. Starting from the theory of custom union and the trade creation and trade diversion effects, this paper tries to apply the theoretical...

Taking into consideration the advantages of FDI and their impact in case of transition countries' successful integration with the EU, this paper focuses on FDI-policy in Croatia. The aim is to analyze institutional conditions for investment with special reference to government support schemes...

Economic integration can cause significant adjustment costs and call for economic structure flexibility which will make the relocation of production factors within or between industries less expensive. Based on new trade theory, the integrated economy approach allows an insight into different...