It is of paramount importance that European firms, investors and countries, take into consideration the implications, changes and opportunities of European integration in their decision-making processes. This is reinforced by the fact that the EU has been continuously evolving and enlarging. This textbook is one of the first to cover the subject of the economics of the EU, including all 25 member countries as well as several other potential candidate countries.

Miroslav Jovanovic argues that monetary union and eastern enlargement have amplified existing discrepancies among the member countries. For example, the introduction of the euro highlighted the different speeds at which economic policy in the EU moves. Twelve member countries joined the eurozone, but more than half of the 25 EU member countries remain outside this most profound economic project in the EU, either by choice - Britain, Denmark and Sweden - or by ineligibility - the ten countries that entered the EU in 2004. There is also the added complication of general public suspicion about the EU and a number of its projects. With this in mind, this textbook looks at the origin, development and potential limits and prospects of the process of European integration by considering the principal EU economic policies. The book also discusses topics such as foreign direct investment, transnational corporations and the location of firms and industries. The complex material is presented in a reader-friendly way, yet underpinned by a sound theoretical framework and revealing examples.

This accessible and approachable text is aimed at upper level students in the fields of European studies, economics - particularly international economics - business studies, international relations and economic geography.

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