Malcolm Rivera
Periphery countries are those that are less developed than core countries and are often subject to decisions made by more developed nations. They tend to have weak state institutions and are dependent on the core countries, which may exploit their resources, cheap labor, and natural resources. In the context of Europe, the periphery typically refers to countries lying to the south and east of the EU, including Hungary, Slovakia, and the Czech Republic, and Ireland. Additionally, there are eight ultra-peripheral regions within the EU, recognized by the Treaty on the Functioning of the European Union (TFEU), which includes five French overseas departments and two Portuguese autonomous regions.
| Characteristics | Values |
|---|---|
| Number of ultra-peripheral regions in the EU | 8 |
| Examples of ultra-peripheral regions in the EU | Réunion, Guadeloupe, French Guiana, Saint-Martin, Martinique, Azores, Madeira, Canary Islands |
| Core countries | Germany, France, UK, Italy, Benelux (Netherlands, Belgium, Luxembourg) |
| Periphery countries | Ireland, countries lying to the south and east of the EU |
| Historical examples of periphery countries | Poland, Latin America |
| Reasons for periphery status | Inefficient customs and ports, lack of technology development, lack of central government, control by another country |
| Obstacles to development | Lack of technology, unstable government, poor education and health systems |
| Strategies for improvement | Education, research and development, industrialization |
| Historical reasons for joining the EU | Guarantee of democratic stability, improved living conditions, increased consumption levels, freedom of movement |
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What You'll Learn
The historical context of periphery countries in Europe
The concept of core and periphery countries in Europe has evolved over time, influenced by historical contexts and various factors. In the 15th and 16th centuries, the world system was markedly different, with no single dominant trading power. This dynamic led to the emergence of cores and peripheries within regions rather than on a global scale. During this period, Europe was the most underdeveloped region involved in trade, with weak core and periphery areas. Countries like Poland and Latin America constituted the periphery, engaging in the export of primary goods like wheat and relying on cheap labour, including enslaved workers.
The relationship between core and periphery countries is often characterised by the exploitation of the latter by the former. As industrialisation progressed, core countries sought cheap goods and turned to less developed periphery countries to meet these demands. This dynamic was evident in the interactions between Europe and peripheral regions like Latin America, where forced labour enabled the export of inexpensive products to Europe. Aristocrats in peripheral regions benefited economically from their engagement with the global economy, even as their countries were exploited.
In the 19th century, a significant divide emerged in Europe between industrialised nations and peripheral countries. This period witnessed the success of Scandinavian economies, which stood in contrast to the relative stagnation of other peripheral regions. Factors such as resources, historical background, incompetent and corrupt elites, and a lack of professional skills contributed to the disparity. However, it is important to note that the assertion that peripheral countries were solely dependent on advanced economies of the centre has been challenged.
Within the European Union (EU), the concepts of core and periphery remain salient. The EU's core comprises powerful countries such as Germany, France, the UK, Italy, and the Benelux nations. In contrast, the periphery includes countries to the south and east of the EU, along with Ireland to the west. The financial crisis of 2008-2010 marked a turning point, leading to increased criticism of the EU's accumulation of neoliberal measures and the impact of the euro crisis. This period highlighted the entrenched nature of the periphery within the EU, with countries subjected to the decisions of the hegemonic core.
Despite these challenges, it is possible for periphery countries to improve their status and move towards semi-periphery or core positions. Education plays a pivotal role in this transformation, as raising literacy rates and developing universities enable the spread of ideas and technological advancements. By investing in education and fostering industrial development, periphery countries can enhance their global competitiveness and potentially attain core status in the international market.
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The core and periphery dynamic within the EU
In the context of the European Union (EU), the core and periphery dynamic refers to the relationship between the powerful countries at the centre and the less developed countries on the outer edges of global trade. The core consists of the most powerful and industrialised countries, including Germany, France, the UK, Italy, and the former Benelux countries (the Netherlands, Belgium, and Luxembourg). These core countries are often referred to as the hegemonic powers, making decisions that impact the periphery countries.
The periphery, on the other hand, consists primarily of countries lying to the south and east of the EU, including Ireland to the west. These countries are subjected to the decisions made by the core and often have weaker state institutions, less developed technology, and unstable governments. They may also be dependent on the core countries for economic stability and investment. For example, countries like Portugal, Ireland, Greece, and Spain, which were once referred to by the acronym PIGS, have faced economic drawbacks and structural discrepancies compared to the core.
The core-periphery dynamic within the EU has been influenced by various factors, including the adoption of the euro, increasing competition, and the financial crisis of 2008. The euro's introduction contributed to decreasing the core-periphery gap, as it facilitated trade and economic integration within the EU. However, the financial crisis and the subsequent accumulation of neoliberal measures by the European Commission negatively impacted the perception of the EU among its citizens, particularly in terms of promoting "free and undistorted competition".
Additionally, the core-periphery dynamic has been shaped by the transfer of industrial production from the west to the east within Europe. This has led to spatial inequalities and changes in the traditional core-periphery patterns. Countries in the former Eastern Bloc, such as Hungary, Slovakia, and the Czech Republic, have experienced significant capital outflow, with profit repatriation exceeding investments. As a result, these periphery countries have struggled with financial deficits and debts influenced by the behaviour of the private sector.
It is important to note that the periphery countries are not static and can rise to semi-periphery or core status over time. Improving education, investing in technology, and developing efficient state institutions are crucial steps for periphery countries to enhance their position within the global market and potentially achieve core country status.
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The impact of periphery countries on the global market
Periphery countries are those that are less developed than core countries, with weak state institutions, unstable governments, poor education and health systems, and a lack of technology. They are dependent on, and often exploited by, more developed countries for their natural resources, cheap labour, and agricultural produce.
In the context of Europe, periphery countries include those lying to the south and east of the EU, such as Hungary, Slovakia, and the Czech Republic, and Ireland. These countries are subject to the decisions made by the hegemonic core, which consists of the most powerful countries, including Germany, France, the UK, Italy, and the former Benelux countries.
However, there are ways for periphery countries to improve their position and impact on the global market. Stabilising their governments, becoming more industrialised, and developing their education systems can help periphery countries rise to semi-periphery or even core status. Investing in education and research enables the development of new technology, which can make these countries more competitive in the global market.
Some periphery countries have improved their status over time. For example, the Soviet Union industrialised and became a core country by the 1950s and 1960s. Similarly, Portugal, Greece, and Spain joined the European Union to improve their living conditions and increase consumption levels.
In summary, periphery countries in Europe and worldwide have a complex relationship with the core countries that dominate the global market. While often exploited and vulnerable, periphery countries can take steps toward development and greater independence, potentially even rising to core status themselves and significantly impacting the global market.
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The role of peripheral regions in the EU's legislative process
Peripheral regions in Europe refer to those that are less developed and exist on the outer edges of global trade. These regions often have weak state institutions and are dependent on more developed regions. Historically, peripheral regions in Europe included Poland and Latin America, which were characterised by the export of goods and the exploitation of cheap labour.
Within the European Union, the concept of a core and periphery also exists, with the core consisting of powerful countries such as Germany, France, the UK, Italy, and Benelux, while the periphery consists of countries in the south, east, and west of the EU, including Ireland. The peripheral regions in the EU have often been subjected to decisions made by the core countries and have experienced financial deficits and debt.
The EU adopts legislation through various procedures, depending on the policy area. Most legislation is proposed by the European Commission and approved by the Council of the European Union. The evolution of the European integration process and the role of the European Parliament as a co-legislator have led to an increase in trilogue meetings, which have been effective in fast-tracking the legislative procedure.
Peripheral regions in the EU have also benefited from Community co-financing and funding from the European Regional Development Fund (ERDF) for territorial cooperation. These regions have been recognised in the Treaty on the Functioning of the European Union (TFEU) and have been included in the EU's cohesion policy proposals.
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The relationship between periphery countries and core countries
In world-systems theory, periphery countries are those that are less developed than core countries. They usually receive a disproportionately small share of global wealth, have weak state institutions, and are dependent on more developed countries. Periphery countries are often behind due to a lack of technology, unstable governments, and poor education and health systems.
The relationship between core and periphery countries is defined by the exploitation of periphery countries by core countries. As countries began to industrialize, they looked for cheap goods and products, which they sourced from less developed periphery countries. Core countries benefit from the hierarchical structure of international trade and labour. They exchange goods with poor states at an unequal rate that greatly favours themselves. Periphery countries provide agricultural and natural resources and lower-division labour for larger corporations in core countries.
To maintain their status, core countries give loans to poor regions for specific investments in raw materials or types of agriculture, rather than helping those regions establish themselves in the world market. This pattern ensures that periphery countries cannot earn enough to cover the costs of their imports and invest in better technology, thus perpetuating their position.
However, it is possible for periphery countries to rise out of their status and move into semi-periphery or core status. One of the final steps for a periphery country to rise is to educate its citizens and develop universities, which allow the country to research new technology and better compete in the global market. For example, periphery countries may send university-level students and staff abroad to places such as the U.S. and Europe to receive a better education.
Within the 27 member states of the EU, the Core consists of the most powerful countries, including Germany, France, the UK, Italy, and the former Benelux countries (the Netherlands, Belgium, and Luxembourg). The Periphery, which includes countries lying to the south and east of the EU as well as Ireland to the west, is subjected to the decisions made by this hegemonic Core. For example, in some Eastern European countries such as Hungary, Slovakia, and the Czech Republic, profit repatriation (capital outflow) has been more significant than investments (capital inflow), leading to significant debts.
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Frequently asked questions
Periphery countries are those that are less developed than core countries and are usually dependent on them. They often have weak state institutions and lack technological development.
Poland was considered a periphery country in the 15th and 16th centuries.
The European Union has eight ultra-peripheral regions: five French overseas departments (Réunion, Guadeloupe, French Guiana, Saint-Martin, and Martinique), two Portuguese autonomous regions (Azores and Madeira), and one Spanish autonomous community (Canary Islands).
The core of Europe consists of the most powerful countries, including Germany, France, the UK, Italy, and the former Benelux countries (the Netherlands, Belgium, and Luxembourg).
Periphery countries can improve their status by investing in education and industrial development. Raising literacy rates and developing universities enable a country to compete in the global market and potentially rise to core country status.
