chapter  1
2 Pages

Europeanization and De- Europeanization of Estonian Regional Policy

ByGarri Raagmaa, Tarmo Kalvet, Ragne Kasesalu

According to the most general definition, regional policy (RP) has to reduce regional or

spatial disparities in economic well-being. The main causes of regional problems are

changes in economic structure-a new industry tends to avoid old industrial areas

(Hall, 1988). Because of extensive transition from the socialist system to a market

economy and restructuring of the economic systems, the situation in Central and

Eastern European (CEE) countries is particularly “demanding a RP response”, including

reforms of territorial and administrative structures, the new RP legislation and the

implementation of spatially targeted incentives (Bachtler & Downes, 1999, p. 793).