An Evaluation of the Economic Effects of Austria's EU Membership

EU membership implied for Austria in the first place considerable adjustments in the area of economic policy and also of the private sector. In many policy areas the government had to cede competence to the Community. Austria as the fourth-richest EU member state, is a net payer to the EU budget. The participation in the Single Market increased competitive pressure and brought liberalisation in areas which were protected before. This process is still going on. An overall economic evaluation indicates that EU membership produced welfare effects – mainly for consumers – of about 2 percent of GDP. Since 1995, the full integration of Austria in the Single Market and in the early stage of EMU resulted in an cumulative increase of real GDP of 3 percentage points (or of about ½ percent per year).An Evaluation of the Economic Effects of Austria's EU Membership