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Territorial Distribution of EU Funds Allocation for Developments of Rural Romania during 2014–2020

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  • Doru Maier

    (Management and Economic Engineering Department, Technical University of Cluj-Napoca, 103-105 Muncii Blvd, 400114 Cluj-Napoca, Romania)

  • Ancuta-Nicoleta Remete

    (Management and Economic Engineering Department, Technical University of Cluj-Napoca, 103-105 Muncii Blvd, 400114 Cluj-Napoca, Romania)

  • Alina-Mihaela Corda

    (Management and Economic Engineering Department, Technical University of Cluj-Napoca, 103-105 Muncii Blvd, 400114 Cluj-Napoca, Romania)

  • Ioana-Alexandra Nastasoiu

    (Management and Economic Engineering Department, Technical University of Cluj-Napoca, 103-105 Muncii Blvd, 400114 Cluj-Napoca, Romania)

  • Paul-Sorin Lazăr

    (Faculty of Business, Babeș-Bolyai University, Strada Horea 7, 400038 Cluj-Napoca, Romania)

  • Iustin-Atanasiu Pop

    (Faculty of Business, Babeș-Bolyai University, Strada Horea 7, 400038 Cluj-Napoca, Romania)

  • Traian-Ionuţ Luca

    (Faculty of Business, Babeș-Bolyai University, Strada Horea 7, 400038 Cluj-Napoca, Romania)

Abstract

This study uses cross-section regressions and spatial econometrics techniques to identify determinants of rural development project implementation based on the Common Agriculture Policy (CAP) of the European Union. For this, we use 40 Romanian counties. Results show that agricultural land abundancy and land concentration degree are significant positive factors. On the contrary, the local human development level is a negative determinant, low values for this factor being an incentive to compensate the lack of own resources through European funding. No significant effects of the average salary or population density were depicted. Spatial analysis indicates contagion and diffusion processes for fund accession through projects. This behavior is like that in other financial sectors, in which human behavior is a decisive factor, such as the insurance one. A West–East clusterization process is identified for the total project value, conditioned by the identified factors.

Suggested Citation

  • Doru Maier & Ancuta-Nicoleta Remete & Alina-Mihaela Corda & Ioana-Alexandra Nastasoiu & Paul-Sorin Lazăr & Iustin-Atanasiu Pop & Traian-Ionuţ Luca, 2022. "Territorial Distribution of EU Funds Allocation for Developments of Rural Romania during 2014–2020," Sustainability, MDPI, vol. 14(1), pages 1-20, January.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:1:p:506-:d:717201
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    References listed on IDEAS

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    1. Kym Anderson & Gordon Rausser & Johan Swinnen, 2013. "Political Economy of Public Policies: Insights from Distortions to Agricultural and Food Markets," Journal of Economic Literature, American Economic Association, vol. 51(2), pages 423-477, June.
    2. Botterill, Linda Courtenay, 2004. "Valuing Agriculture: Balancing Competing Objectives in the Policy Process," Journal of Public Policy, Cambridge University Press, vol. 24(2), pages 199-218, August.
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    1. Gema Cárdenas Alonso & Ana Nieto Masot, 2022. "Mapping the Optimal Rural Areas to Invest in through the LEADER Approach: Case Study—Extremadura (SW Spain)," Land, MDPI, vol. 11(8), pages 1-20, July.

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