IDEAS home Printed from https://ideas.repec.org/p/euf/ecopap/0283.html
   My bibliography  Save this paper

The potential impact of the fiscal transfers under the EU Cohesion Policy Programme

Author

Listed:
  • Jan in 't Veld

Abstract

The European Union uses large-scale fiscal transfers to national and regional levels to foster economic and social cohesion. This paper gives an ex-ante model-based analysis of the potential macro-economic impact of these fiscal transfers between member states as planned under the Cohesion Policy programme 2007-2013. The simulations show the costs and benefits of Structural Funds spending on beneficiary and donor countries in the EU. The increase in public investment has positive externalities and yields significant output gains in the long run due to sizeable productivity improvements. In the short run it can lead to crowding out of private spending.

Suggested Citation

  • Jan in 't Veld, 2007. "The potential impact of the fiscal transfers under the EU Cohesion Policy Programme," European Economy - Economic Papers 2008 - 2015 283, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    • Handle: RePEc:euf:ecopap:0283
    as

    Download full text from publisher

    File URL: https://ec.europa.eu/economy_finance/publications/pages/publication9579_en.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chang Woon Nam & Georg Wamser, 2010. "Application of Regionally Varying Additionality Degrees in the Practice of EU Cohesion Policy," CESifo Working Paper Series 2971, CESifo.
    2. Varga, Janos & in 't Veld, Jan, 2011. "A model-based analysis of the impact of Cohesion Policy expenditure 2000-06: Simulations with the QUEST III endogenous R&D model," Economic Modelling, Elsevier, vol. 28(1-2), pages 647-663, January.
    3. Zemanek, Holger, 2009. "Fiscal Transfers and Structural Reforms in the European Monetary Union," MPRA Paper 19357, University Library of Munich, Germany.
    4. Jan in 't Veld & Janos Varga, 2010. "The Potential Impact of EU Cohesion Policy Spending in the 2007-13 Programming Period: A Model-Based," European Economy - Economic Papers 2008 - 2015 422, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    5. Capella-Ramos, João & Checherita-Westphal, Cristina & Leiner-Killinger, Nadine, 2020. "Fiscal transfers and economic convergence," Occasional Paper Series 252, European Central Bank.
    6. Zsuzsanna Tron, 2009. "Examining the impact of European regional policy," IWE Working Papers 188, Institute for World Economics - Centre for Economic and Regional Studies.

    More about this item

    Keywords

    Fiscal transfers; Structural Funds; Cohesion Policy; public investment; in 't Veld;
    All these keywords.

    JEL classification:

    • C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Prediction Models; Simulation Methods
    • H50 - Public Economics - - National Government Expenditures and Related Policies - - - General
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:euf:ecopap:0283. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ECFIN INFO (email available below). General contact details of provider: https://edirc.repec.org/data/dg2ecbe.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.