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By Heather D. Gibson (eds.)

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Extra resources for Economic Transformation, Democratization and Integration into the European Union: Southern Europe in Comparative Perspective

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However, the ability of SEEs to benefit fully depends also on their capacity to take advantage of EU-funded initiatives. In this respect the relative underdevelopment of national, regional and local administrative and institutional structures to facilitate policy implementation remains a problem. In the later 1980s and into the 1990s, SEEs adopted a new policy towards industrial companies in state hands - that of privatization. This has formed an additional policy in the attempts to transform the industrial structures of SEEs.

For accounts of the causal factors listed above, see Glyn et ale (1990), Boltho (1982), Krugman (1987) and Lindbeck (1985). 7. Again, a detailed account of the reason for this decline in postwar international financial institutions is beyond the scope of this introduction. For a detailed account of the history of the international financial system in the postwar period, see Gibson (1996). 8. The extent to which exchange rate volatility adversely affects trade is a controversial issue and it has been difficult to find evidence supporting the view that volatility per se is harmful.

C. and Varoudakis, A. (1996) 'Economic growth, convergence clubs, and the role of financial development', OxfordEconomic Papers, vol. 48, pp. 300-28. Boltho, A. ) (1982) The European Economy: growth and crisis, Oxford University Press, Oxford. Bruno, M. and Sachs,]. (1985) Economics of Worldwide Stagflation, Harvard University Press, Cambridge, MA. Button, K. ]. and Pentecost, E. ]. (1995) 'Testing for convergence of the EU regional economies', Economic Inquiry, vol. XXXIII, pp. 664-71. Calmfors, L.

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