Abstract
<p>The current study strives to present how the European Union changed its economic policy due to the economic and financial crises and the fierce global competition. The main emphasis was laid upon competitiveness on contrary of cohesion and social and economic close up of the newly joined Middle- and Eastern European countries. Funds serving the target of competitiveness for growth and employment are increased by 6-7% annually during the budget period 2007-2013 while agricultural spending decreases by 3% annually. The change of paradigm projects the two speed Europe concept and causes severe tensions between the core regions and the peripheries. </p>
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