1. Introduction The increasing exposure of economies to the external environment puts at disadvantage primarily those countries, industries, or companies, which are less adapted to the international competition or reveal a low potential to do so. Globalization is not made by choice, and when market positions become vulnerable the costs overwhelmingly arise in job losses, economic dualism, and stifled innovation. At regional level, the integration process represents a perfect match for the global institutional, economic, and competitive connections, except for its magnified speed and impact. The option of non-accession to the European Union’s structures has not made any sense, if such issue had been ever put forth, irrespective of each side’s perspective. For Romania, the cultural bond, including here the attachment to free and democratic values, has epitomized the strongest link to Western Europe for considerably long part of its history, and seemingly held back an equally important option to have developed. For its part, the European Union (EU) is in the enviable position to extend its own legislative body and political and economic practices over such a sizeable area as Eastern Europe, sooner and easier than its possible rivals – the United States and Russian Federation – could have worked out something alike. The economics provides substantial arguments (e.g. Daianu and Vr‚nceanu) to regard the integration process as a predictable event as well. But, if integration is but certain, what is at stake in coming economically closer to Western Europe? It is just this familiar sense, which the integration has come to be perceived in, confirmed by one of the strongest popular support in Romania – which is by no means a result of “costs-benefits” analyses – which seriously affect the judgment on the Romanian Journal of European Affairs vol. 3, no. 3, 2003 55 * The author holds a Senior Lectureship on International Trade and Competition at the School for International Economic Relations of the Academy of Economic Studies Bucharest. WHAT IS AT STAKE FOR ROMANIA IN THE PROCESS OF EUROPEAN INTEGRATION? Valentin Cojanu * ABSTRACT: Economists consider the social impact of the economic phenomena from a somewhat detached analytical perspective. This article argues that the process of economic integration Romania is pursuing requires instead a more compassionate approach as the social burden looms large enough not to be ignored. Romania is not in the position to capitalize in the short run on the economic or political advantages of the EU enlargement. As this argument suggests, the energy and economic policies should be directed in the near future to alleviate the consequences of declining gains from trade and to improve the existing capacity to increasingly compete in similar industries. The road to periphery with its associated effects of economic dualism and widespread poverty does not necessarily imply a geographic location, but failure to profitably take part in regional economic development.