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EU Cohesion Policy in a Period of Economic Crisis: Evaluating Impacts in Small Open Economies

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  • John Bradley

Abstract

This is a review of issues concerning the role and effectiveness of the EU Structural and Cohesion Funds in different countries before and after the EU enlargement since 2004. Based on Ireland’s experience this analysis focuses on the impact of the cohesion policy on the small open economies under the conditions of economic crisis and the implementation of the Lisbon Strategy ’2000. An integrated micro-macro approach is presented, attempting to elucidate the policy contradictions and the results from the applied programs at a highly aggregated level, making use of macroeconomic models (macro or top-down) and at a disaggregated level (micro or bottom-up). The thesis is defended, that the interaction of both approaches shall enable the impacts on the micro-level to be linked with the impacts on macro-level (GDP and employment).

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Bibliographic Info

Article provided by Bulgarian Academy of Sciences - Economic Research Institute in its journal Economic Thought.

Volume (Year): (2010)
Issue (Month): 7 ()
Pages: 50-67

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Handle: RePEc:bas:econth:y:2010:i:7:p:50-67

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  1. Sjef Ederveen & Henri de Groot & Richard Nahuis, 2002. "Fertile soil for structural funds? A panel data analysis of the conditional effectiveness of European cohesion policy," CPB Discussion Paper, CPB Netherlands Bureau for Economic Policy Analysis 10, CPB Netherlands Bureau for Economic Policy Analysis.
  2. William Easterly, 2003. "Can Foreign Aid Buy Growth?," Journal of Economic Perspectives, American Economic Association, American Economic Association, vol. 17(3), pages 23-48, Summer.
  3. John Bradley & Gerhard Untiedt, 2008. "EU cohesion policy and “conditional” effectiveness: What do cross-section regressions tell us?," Working Papers, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen 4-2008, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen.
  4. Sjed Ederveen & Joeri Gorter & Ruud de Mooij & Richard Nahuis, 2003. "Funds and Games: The Economics of European Cohesion Policy," Occasional Papers, European Network of Economic Policy Research Institutes 03, European Network of Economic Policy Research Institutes.
  5. Burnside, Craig & Dollar, David, 1997. "Aid, policies, and growth," Policy Research Working Paper Series 1777, The World Bank.
  6. International Monetary Fund, 2008. "Macroeconomic Effects of EU Transfers in New Member States," IMF Working Papers, International Monetary Fund 08/223, International Monetary Fund.
  7. Michele Boldrin & Fabio Canova, 2001. "Inequality and convergence in Europe's regions: reconsidering European regional policies," Economic Policy, CEPR;CES;MSH, CEPR;CES;MSH, vol. 16(32), pages 205-253, 04.
  8. John Bradley & Gerhard Untiedt, 2007. "Do economic models tell us anything useful about Cohesion Policy impacts? A comparison of HERMIN, QUEST and ECOMOD," Working Papers, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen 3-2007, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen.
  9. John Bradley & Timo Mitze & Edgar Morgenroth & Gerhard Untiedt, 2006. "How can we know if EU cohesion policy is successful? Integrating micro and macro approaches to the evaluation of Structural Funds," Working Papers, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen 1-2006, GEFRA - Gesellschaft fuer Finanz- und Regionalanalysen.
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