EU Enlargement: Opportunities or Threats for NESIS Benjamin Adesola PhD INFORMER S.A. 1 Rue du Fort Dumoulin, L-1425 Luxembourg Tel: +352 4591 4550 Fax:

EU Enlargement: Opportunities or Threats for NESIS

Benjamin Adesola PhDINFORMER S.A.

1 Rue du Fort Dumoulin, L-1425 LuxembourgTel: +352 4591 4550 Fax: +352 4591 4571

Email: [email protected]

Workshop on Productivity, Competitiveness & The New Information Economy

Business, Systemic and Measurement IssuesISTAT Istituto Nazionale di Statistica

Rome, Italy, 26 – 27 June 2003

Presentation Outline

1. The Challenges of EU enlargement

2. EU Policies and NESIS Project

3. Indicators of Productivity & Competitiveness 4. Opportunities or Threats for NESIS Indicators

5. Questions and Answers – Lessons Learnt

Oppotunities or Threats for NESIS


Enlargement is the most ambitious project that the EU is undertaking. It is the reunification of continental Europe and its people in a constitutional framework, that encourages them to work together in peace and stability.

For the people of Central and Easter Europe, European Union symbolises the values to which the have longed to return for more than a generation during the period of Iron Curtain and the Cold War. The prospect of EU membership has helped to make irreversible their choices of pluralist democracy and market economy, and encouraged them on the path to reform.

For the people of the present EU, stability and democracy in Central and Easter Europe have yielded great benefits, not only in terms of security, but also of prosperity: increase in trade.

These benefits will be consolidated and augmented, for both old and new members, whenEnlargement take place in 2004, provided that the EU meets the challenges which it presently Faces.

Why Enlargement?

Wim Kok Report to the European CommissionFormer Deputy Prime Minister of the NetherlandsEnlarging the European Union: Achievements and Challenges. European University Institute, RobertSchuman Center for Advanced Studies

The Challenges of EU Enlargement


Accession Negotiations Copenhagen European Council December 2002

• 10 acceding countries• 75 million new citizens• 25 member states• 450 million citizens

What are the challenges?

• Political• Legal• Economic• Social• Technological• Environmental

CyprusCzeck Republic

EstoniaHungary

LatviaLithuania

MaltaPoland

Slovak RepublicSlovenia

Who are the accession countries?

Where are these challenges?What do we know about them?What are their nature, structures and forms?Who is involved, when and where?How do we overcome these challenges? How do we conceptualise and reconceptualise?

EU Policies and NESIS Project


The Presidency Conclusion at the Lisbon EU Summit

“to become the most competitive and dynamic knowledge-basedeconomy in the world, capable of sustaining economic growth withmore and better jobs and greater social cohesion”

European Commission and European Council 2000,2001

NESIS activities are organised around four Policy and conceptual pillars that emerged from the Lisbon Strategy

Pillar I macroeconomics stability and environmental sustainability (WP5.1)

Pillar II productivity and competitiveness in the new economy (WP 5.2 – 5.5)

Pillar III human investment in the new information economy (5.6)

Pillar IV social inclusion in the new information economy (5.7 – 5.9)

NESIS Indicators of Productivity & Competitiveness


WP 5.2 Review of indicators and méthodologies on productivity and territorial competitiveness through network management inthe new information economy.

WP 5.3 Policy guidelines in relation to WP 5.2

• What are the indicators of productivity and competitiveness?• In what context and for what purposes?• What are the indicators and what are the methodologies for acquiring them?• When, by whom and how do we develop methodologies to derive indicators?

• What policies and what are sustainable indicators, in what context and for what purpose?• What are the indicators of PA’s policies e.g. to citizens, enterprise and processes?• What methodologies are required to derive policy indicators?• How do we develop methodologies to derive indicators?

NESIS Indicators of Productivity & Competitiveness


WP 5.4 The impact of ICT usage on business organisation and business processes.

WP 5.5 Indicators on enterprise dynamics within the new economy.

• What are the indicators of business organisation?• What are the indicators of business processes?• What methodologies are required?• How do we develop methodologies to derive indicators?

• What are indicators on enterprise dynamics within the new economy?• Where are indicators on enterprise dynamics within the new economy?• What methodologies are required to derive indicators on enterprise dynamics?• How do we develop methodologies to derive indicators?


The Candidate countries, Statistical Indicators and Sustainability in New Europe

‘There is no denying the political importance of involving these countries in EU activities or of questioning either their interest in or ability to producing statistics of various kinds. There is no disputing the need to prepare them for seemless integrationinto the Union in due course. ’

But

This is an extract from NESIS Contract for Accompanying Measure in a KB Society Annex 1 – Description of WorkNESIS IST-2000-31118

Most candidate economies are undergoing a dual transition, in institutional structure from planned to market economy and in industrial structure from traditional pattern ofEconomic activities (sectorally and technologically), to much newer structure.

Why is it important to involve Candidate countries in NESIS?


Objectives of a NESIS WP addressing Candidate countries1. Assessing the applicability of the indicators being developed and evaluated in the

EUto Candidate economies.

2. Investigate the relationship between existing indicators of transition to market economy

status and functioning.

For example:

a. Is the speed of transition in one sense related to speed of transition in the other? How and Why?

b. Is the relationship mediated through variables, such as current macroeconomic performance, degree of openness or geographical location? c. Is this in turn related to indicators of macroeconomic growth and stability, of

environmental and social performance, and of regional, sectoral and enterprise competitiveness

and productivity in the Candidate economies?

Given the changes taking place in the new economy it is inevitable that the revision of concepts and

measures of efficient market functioning would lead to reappraisal of standard indicators of transition

to market economy status.

The Candidate countries, Statistical Indicators and Sustainability

Where are theIndicators?

What are the Indicators?

How are theIndicators derived?

Opportunities for NESIS Indicators


Threats for NESIS Indicators

The Candidate countries, Statistical Indicators and Sustainability

Example questions constitute a large, complex, discrete and separate body of issues but with the potential to dilute NESIS current trajectory in relation to the matured EU marketeconomies. However the enlargement is here and now, with the benefit of sustainableDevelopment to NESIS Indicators in the New Europe.

1. Framework for assessing applicability of indicators developed and evaluated

through NESIS four pillars in Candicate economies. 2. Create awareness and standards for developing best practice

indicators in the New Europe.3. Indicators of Productivity and Competitiveness in the New Europe

and more.4. Development of working group towards sustainable development.

1. Risk in the adoption of measurements prescribed at local level2. Lack of sustainability in existing indicators for New Europe

The Heat in on

Questions and Discussion

How long have we got?What are the risk?

What is the roadmap?

Lessons Learnt


Documents

EU Enlargement: Opportunities or Threats for NESIS Benjamin Adesola PhD INFORMER S.A. 1 Rue du Fort Dumoulin, L-1425 Luxembourg Tel: +352 4591 4550 Fax: