Regional and environmental effects of the EU enlargement and Euro zone

Abstract

Awareness of regional economic disparities has been long established. It is clear that regional disparities still play an important role in quality of life. Particularly in Europe and in the European Union, extensive research has been boosted on regional disparities and how they are influenced by the economic integration and the Economic Monetary Union. This paper proposes a theoretical framework for regional classifications and rankings based on the development of environmental indices. This framework is being used to classify European Union countries according to the extent to which they are influenced by supplyside (producer) and demand-side (consumer) responses to their specific bundle of economic and environmental attributes. This classification provides information about the relative attractiveness to producers and consumers of the combination of economic and environmental attributes indigenous to each region. It can also assist on the regional and environmental policies of the European Union by proposing an appropriate mix of environmental and regional policies for each country under examination based on a number of characteristics (high productivity, low productivity, high amenity, low amenity).