Publication

This paper examines the cost of non-compliance with EU requirements in the case of Moldova. It states that non-compliance translates into loss of existing export markets in Romania and the inability to expand into new markets. The author argues that since economic governance is poor in Moldova, a key challenge is to determine the priorities, sequence and degree of legal approximation to the EU. The paper argues that the optimum degree and appropriate pace of convergence needs to be driven by economic rationale and the development of the country's trade potential.