A decade of EU membership : evolution of competitiveness in Romania

Abstract

We analyse in this paper the main achievements of Romania in terms of competitiveness during the period of ten years since joining the European Union. The analysis is based on a proposed Competitiveness Index, which is constructed on the basis of five indicators that express the progress of reforms in the following areas: business environment, labour market, state institutions, taxation, and human capital. The analysis is carried out in a comparative perspective, at three levels: with Bulgaria, which joined the EU the same year; with three countries from Western Europe; and a group of countries from Central and Eastern Europe that integrated the EU earlier, in 2004. We find a strong convergence in terms of competitiveness between Romania and the other neighbouring countries, as well as a slower but increasing convergence towards the “old” EU member states.