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This volume brings together contributions on the major economic policy issues which have opened up as a result of the imminent process of European Union enlargement. The issues analyzed range from modelling and analyzing the costs and benefits of enlargement, to challenges for macroeconomic policy both at the EU level and in the new member countries, in particular for exchange rate policy, the timing of EMU entry and the design of appropriate fiscal policy frameworks. Further, the state of affairs in the new member countries is covered with respect to sectoral policy reforms such as those undertaken in the financial sector and in competition policy, while the impact of enlargement on Europe's trade policy agenda is discussed. The volume reviews lessons to be learnt from previous accession experiences and analyzes in detail the major issue of evolving disparities between the new member countries and those countries left out of the first round of the accession process (particularly in the Balkans and the CIS). The volume concludes with a panel discussion (with high-calibre academics and policy-makers) concerning political and economic policy chal-lenges facing the New Europe.