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Published in:
2006 | OriginalPaper | Chapter
Reviewing the EU Approach to Regulating FDI Policy Competition
Published in: Locational Tournaments in the Context of the EU Competitive Environment
Publisher: DUV
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The main conclusion of the positive analysis of FDI policy competition in Europe presented in Chapter 3 is that the EU possesses a sophisticated competition framework that represents a “considerable success in cooperation and policy coordination”.
466
It suggested that EU institutions and governance mechanisms in this area are, in principle, well designed to be effective monitoring and enforcement mechanisms to support the goal of establishing
ex ante
arrangements for contract governance to save on
ex-post
transaction costs.
467
The following section takes a closer look at the extent to which the overall EU competition framework also represents an effective solution to overcome FDI policy competition issues.