By Christopher T. Saunders (eds.)
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The object of regulation on an EEC basis is to minimise the extent to which subsidies to particular industries or firms distort the competitive process. The practical issues have often been linked with the agreed policies of assistance to depressed regions within the member States. Moreover, the formation of long-term strategies - which it is recognised may involve some selective financial support for the restructuring of industries or firms - has been constantly frustrated by the need for emergency actions to moderate the more drastic consequences of market forces in crisis conditions.
8) Josef van Brabant, Socialist Economic Integration, London, Cambridge University Press, 1980; pp. 225 ff. 25 (9) An interesting case has arisen (February 1982) as a result of the French Government's extension of nationalisation. The control of Roussei-Uclaf, the second largest French pharmaceutical producer, in which the West German firm Hoechst held a large interest, is now to be shared between Hoechst and the French Government. This could be regarded either as an example of Franco-German production cooperation, or as an action by the French Government to secure production in France.
But if considerations of national interest carry more weight in the socialist system, is this theoretical advantage of socialism so significant in practice? (d) It has been remarked that there are relatively few 'transnational' enterprises (Socialist Common Enterprises) in the CMEA. One reason is that the central planning process can direct activities of enterprises towards integration without the need for a juridical institutionalising of common interests (15). (e) A further point concerns the large-scale international projects and target programmes (described in Ch.
Regional Integration in East and West by Christopher T. Saunders (eds.)