External dimension of the Europe 2020 strategy

Abstract

A Europe 2020 is the umbrella strategy of the European Union (EU) aiming at enhancing of the economic growth of EU over year 2010-2020. Apart of the headline indicators and flagship initiatives, the successful implementation of the Europe 2020 strategy depends from number of the framework polices of the EU, such as single market, budget, but also the external economic relations. The external economic relations depend directly to the theories of economic growth, in sense of the classical growth theory, inspired by two great economists Adam Smith and David Ricardo, which has considered internationalization and opening of the economies as one of the core growth factors. According to the survey of economic experts, implementation of Europe 2020 strategy will depend in equal parts, both from internal, but also from the external polices of EU. In this regard, external economic relations provide for very good framework continuous, as EU external trade grew over the years 2011–2012 significantly, the export increased by 71% and import – by 74%. Related to the EU external trade policies in general, they are manifold, starting from the negotiations of the international trade conditions within frames of World Trade Organization, stretching to the framework EU initiatives of Generalizes system of preferences (Everything but arms/EBA, GSP+) and bilateral trade agreements, which, as from year 2006 became the preferred international trade policy of EU. Recently, the free trade agreement between EU and USA are about to be negotiated, which will establish unique Trans-Atlantic free trade area, boosting the economic growth by at least 0,5% annually, thus, it will add significantly to implementation of Europe 2020 strategy.