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The EU Cohesion policy in context: regional growth and the influence of agricultural and rural development policies

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  • Riccardo Crescenzi
  • Mara Giua

Abstract

This paper looks at the Cohesion Policy of the European Union (EU) and investigates how the EU agricultural and rural development policies shape its influence on regional growth. The analysis of the drivers of regional growth shows that the EU Regional Policy has a positive and significant influence on economic growth in all regions. However, its impact is stronger in the most socio-economically advanced areas and is maximised when its expenditure is complemented by Rural Development and Common Agricultural Policy (CAP) funds. The top-down funding of the CAP seems to be able to concentrate some benefits in the most deprived areas. Conversely only the most dynamics rural areas are capable of leveraging on the bottom-up measures of the EU Rural Development Policy. This suggests that EU policy makers in all fields should constantly look for the best mix of bottom-up and top-down measures in order to tackle structural disadvantage.

Suggested Citation

  • Riccardo Crescenzi & Mara Giua, 2014. "The EU Cohesion policy in context: regional growth and the influence of agricultural and rural development policies," LEQS – LSE 'Europe in Question' Discussion Paper Series 85, European Institute, LSE.
    • Handle: RePEc:eiq:eileqs:85
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    2. Gabriela Tigu & Laura Marinas & Ileana Valimareanu Mircioi, 2015. "Contribution of EU funds to the development of human capital in rural areas," International Conference on Competitiveness of Agro-food and Environmental Economy Proceedings, The Bucharest University of Economic Studies, vol. 4, pages 356-367.
    3. Zaman, Gheorghe & Georgescu, George, 2015. "Financing the endogenous development at regional and county levels. Particularities, trends and challenges," MPRA Paper 62270, University Library of Munich, Germany.
    4. Jingxiao Zhang & Qiaoling Liu & Chao Wang & Hui Li, 2017. "Spatial–Temporal Modeling for Regional Economic Development: A Quantitative Analysis with Panel Data from Western China," Sustainability, MDPI, vol. 9(11), pages 1-25, October.
    5. Barbara Wieliczko & Agnieszka Kurdyś-Kujawska & Zbigniew Floriańczyk, 2021. "EU Rural Policy’s Capacity to Facilitate a Just Sustainability Transition of the Rural Areas," Energies, MDPI, vol. 14(16), pages 1-23, August.
    6. Laura Elena MARINAS, 2015. "Returns on EU Funding for Human Capital Development in Rural Areas," REVISTA DE MANAGEMENT COMPARAT INTERNATIONAL/REVIEW OF INTERNATIONAL COMPARATIVE MANAGEMENT, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 16(4), pages 491-505, October.
    7. Adelar Fochezatto & Eduardo Rodrigues Sanguinet & Patricia Batistela & Rodrigo Valdes, 2023. "Income Leakage Regional Effects: Supply and Demand Shocks during the Pandemic in Brazil and Chile," Geographies, MDPI, vol. 3(4), pages 1-19, October.
    8. Mindaugas Butkus & Alma Maciulyte-Sniukiene & Renata Macaitiene & Kristina Matuzeviciute, 2021. "A New Approach to Examine Non-Linear and Mediated Growth and Convergence Outcomes of Cohesion Policy," Economies, MDPI, vol. 9(3), pages 1-28, July.
    9. Ionut Florin BRATILOVEANU & Adrian IRIMIA & Cristian Virgil MARINAS & Ramona Stefania IGRET, 2016. "Eu Funds To Support Human Capital Development In Romania," Proceedings of the INTERNATIONAL MANAGEMENT CONFERENCE, Faculty of Management, Academy of Economic Studies, Bucharest, Romania, vol. 10(1), pages 428-434, November.
    10. Gouveia, M.C. & Henriques, C.O. & Costa, P., 2021. "Evaluating the efficiency of structural funds: An application in the competitiveness of SMEs across different EU beneficiary regions," Omega, Elsevier, vol. 101(C).
    11. Jana Kolaøíková & Ondøej Dvouletý & Petr Kolaøík, 2018. "Economic performance of the NUTS III Regions in the Czech Republic in the context of entrepreneurship subsidies from the EU Structural Funds," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 36(1), pages 129-153.

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    More about this item

    Keywords

    regional policy; European Union; regional growth; rural development; Common Agricultural Policy;
    All these keywords.

    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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