ABSTRACT

Over the last three decades a considerable literature has been developed that analyses the existence and implications of core-periphery dualism among the nations of the European Union (EU). This dualism associates a position of economic and developmental superiority with the core nations, those that are geographically central to major markets. The superiority is evidenced by a greater concentration of high-technology industries, producer services, job creation potential and overall development potential in the core economies. The relative disadvantages of the peripheral nations, according to this type of analysis, stem from the implications of their locations and their sizes for transportation costs, industrial agglomeration, and scale economies.