Unit 4: Essay question on EU enlargement.

Evaluate the significance of EU enlargement to UK macroeconomic performance. (30)


Issues and areas for discussion:
1. the nature of EU enlargement

2. macroeconomic performance

3. economic growth

4. jobs

5. prices

6. the balance of payments

7. indicators of macroeconomic performance

8. a general comparison of the UK with new members’ economies

9. export opportunities

10. import threats

11. significance of outsourcing

12. demand-management policies helping to put the UK ‘house in order’ and maintaining stability

13. supply-side reforms

14. productivity

15. comparative advantage

16. the extent to which de-industrialisation limits economic success within the context of Enlargement

17. the extent of services providing a basis for success within the context of enlargement

18. opportunities/threats beyond the EU

19. immigration

20. other factors complementing the impact of enlargement or vv, i.e. enlargement as just

21. one potential component of improved UK macroeconomic performance

22. the underlying strength/weakness of the UK economy before enlargement

23. the strength of the challenges posed by the new members (Croatia example)

24. the UK business attitudes towards preparing for, and facing up to, the challenges

25. enlargement perceived as much more/much less significant than other factors