ABSTRACT
This chapter gives the benchmark for this trend through the experience of the European Union (EU) related to foreign direct investment (FDI) and multinational enterprises (MNEs). Regionalization and regionalism in Europe include widely various issues and policies. In fact, MNEs advance the integration of national economies through FDI and affect the income distribution and employment. This investigation will show asymmetrical and complicated features of the regionalization process in the EU. A salient point of emphasis is that the delay of regionalism in this aspect, compared with that of market building, suggests the asymmetrical nature of European integration between the market and the production processes. The chapter reconsiders the 'free movement of capital'. In EU jargon, 'free movement of capital' is often said to be parallel with 'free movement of goods', but we suggest that the economic implications of capital movement differ greatly from those of goods.
