The Economics of International Integration, Second Edition
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The Economics of International Integration, Second Edition

Miroslav N. Jovanović

The dissipating multilateral trading system and splintering in a number of trading blocs and arrangements has been one of the most important issues in international economics, particularly after the establishment of the World Trade Organisation in 1995 and especially during the Doha Round (2001-13). This book takes on those and new issues such as integration through spatially fragmented production and operation of supply chains. It also reviews various existing and emerging integration arrangements and their achievements. International economic integration deals are here to stay and evolve with variable successes in spite of advantages offered by the multilateral trading system.
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Chapter 4: Mobility of labour

Miroslav N. Jovanović

Abstract

Chapter 4 is devoted to common markets. Factor (labour and capital) mobility lies at the heart of the analysis. Labour migration, including a number of controversies surrounding this issue – particularly which country (sending or receiving) benefits more from integration (or how much) – is outlined in the context of Europe. Prospects for increased foreign direct investment activity and operations of transnational corporations are analysed with respect to integration arrangements of both developed and developing countries. Discussion is supported by statistical data on foreign direct investment in the EU.

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