WESTERN-EUROPEAN MICRO-STATES AND EU AUTONOMOUS REGIONS - THE ADVANTAGES OF SIZE AND SOVEREIGNTY

Western Europe has a large number of sovereign micro-states and, in addition, there are also a number of regions of the European Union (EU) which have an unusually high degree of autonomy. This paper examines the economic performance of these micro-states and autonomous regions which is found to be superior to that of adjacent EU regions. The strong economic performance of these micro-states and autonomous regions is shown to be closely related to activity in the financial services sector, tourism and, where present, natural resources. Complex differences among the group of micro-states and autonomous regions are also revealed.