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Efficiency or effectiveness? The Hungarian practice of using the EU funds

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  • Sándor Gyula Nagy

    ()
    (Corvinus University of Budapest, Department of World Economy, Budapest, Hungary)

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    Abstract

    Efficiency or effectiveness? It not just the matter of definition. Experts and researchers have to make a difference between the qualitative and quantitative approach. The efficiency of EU subsidies means the ratio of the committed and disposable amount of EU subsidies can be measured, which was used and paid out within the given timeframe and along the legal regulations. The effectiveness of EU subsidies needs a much more complicated and complex approach than efficiency. The effectiveness of usage on a project level can be measured by the ‘added value’ of the project; and on the programme level by the added GDP growth or employment rate. The following research essentially analyses the project level or micro-effectiveness, however, it discusses the results of some macro-analyses as well (qualitative approach).

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    Bibliographic Info

    Article provided by Akadémiai Kiadó, Hungary in its journal Society and Economy.

    Volume (Year): 30 (2008)
    Issue (Month): 2 (December)
    Pages: 259-274

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    Handle: RePEc:aka:soceco:v:30:y:2008:i:2:p:259-274

    Note: The author is member of the OTKA (Hungarian Scientific Research Fund) Research Group of Prof. Tibor Palánkai (NI 68085). The article shows the results of the research in the sub-topic “Efficiency of Cohesion Policy”.
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    Web page: http://www.akkrt.hu

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    Postal: Akadémiai Kiadó Zrt., Prielle K. u. 21-35. Budapest, 1117, Hungary
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    Keywords: EU Structural Funds; efficiency; effectiveness; measurement; Hungary;

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