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(Krugman, 1991a; Krugman and Venables, 1996). The independent agglomerate-regions are listed in
Table 2A, in the Appendix.
Table 2A illustrates that the urban agglomerates of Bremen, Hamburg, and Berlin lie
immediately north of the geographic core, as does the urban agglomerate of Kiel in Schleswig-
Holstein. In Denmark lies the core region of Copenhagen, which serves as a conduit to Sweden and its
core region of Stockholm. The core region of Uusimaa in Finland, with Helsinki as its capital, is the
most northern EU core region. The core regions of Stockholm and Uusimaa are exceptions to the
definition of urban agglomerates as applied to the other EU regions.
In the northern UK, the contiguous core regions of Northumberland-Tyne & Wear and
Cleveland- Durham form a cluster of core regions quite far removed from the centre of the geographic
core. To the northwest lie the independent core regions of Northern Ireland, and the East in Ireland,
with respectively Belfast and Dublin, as their urban agglomerates. The independent agglomerates of
Madrid, Cataluna, and Pias Vasco in Spain, and Norte and Lisbon in Portugal are situated in the south
of the EU geographic core. Located to the south - east are the independent agglomerates of Lazio and
Campania in Italy; and Attiki in Greece.
The identification of the EU independent agglomerates is significant because of the potential
negative effects of trade liberalisation. The stability of independent agglomerates depends significantly
on their industrial structure. These agglomerates are subject to possible changes in industry
composition that affects their manufacturing base, employment structure and income creation because
of economic integration (Krugman and Venables, 1996). Any reduction in the size of the individual
industrial complexes in these agglomerates will substantiate the theory that industry is relocating to the
geographic core, thereby potentially affecting the stability of the independent core regions.
8 Demographic and Economic Analysis of the EU CAP Regions
European integration has created a common market consisting of countries characterised by
CAP type administrative regions exhibiting a national multi-agglomerate production structure. The
objective of this section is to examine the applicability of the regional CAP structure to the EU