This book studies the macroeconomic and structural adjustment burdens for new Eastern European member countries of the European Union. The widespread belief that an Eastern enlargement of the EU would be overwhelmingly to the detriment of current members is rejected.
The contributors discuss the lack of competitive-ness of Eastern countries and their need for structural adjustment (financial sector, agriculture, manufacturing). The main issues considered critically are the problem of price convergence in integrated markets, the positive approach to foreign capital inflows (including transfers and foreign direct investment), the problem of the current account deficit and the direction of structural change. In most contributions a comparative approach plays an important role. Many authors write with experience of the Southern enlargement of the EU.
The book consists of a wide range of theoretical approaches - from rather supply-side-oriented to more demand-side ones - to offer a range of perspectives on how enlargement could affect the transition economies and the European Union as a whole.

'This book reads well and provides interesting theoretical and empirical material on possible consequences of future enlargement. ' - Dariusz Rosati, National Bank of Poland

'This valuable collection of papers makes a real contribution in edging the enlargement debate towards relatively under-played considerations. It asks us to reconsider the funamental issue of whether it is economically sensible for CEECs to be steering a course almost on automatic pilot towards Brussels and the acquis.' - George Blazyca, European Foreign Affairs

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.Hölscher and J.Stephan

HUBERT GABRISCH is Head of the Central and East European division at the Institute for Economic Research Halle (IWH), after being former deputy directory of the Vienna Institute for Economic Research (WIIW). He took his doctoral degrees on Poland's integration into the Comecon. His research interests concentrate on economic integration and selected aspects of transition policies, particularly macroeconomics. He has published widely, and his recent research focuses on the relations of the EU with Central and Eastern Europe. He is a Member of the Scientific Advisory Board of the Institute of Agricultural Development in Central and Eastern Europe (IAMO) in Halle, Germany.

RÜDIGER POHL is President of the Institute for Economic Research Halle, and Professor of Economics, Martin Luther University, Hall-Wittengerg, specializing in the study of money and currency. He was previously Professor of Economics at the Fernuniversität Hagen from 1977 to 1993. He has served as a Member of the Council of Experts for the Surveying of Economic Development .