In the context of scarce EU budgetary resources and strained public finances, cost-benefit analysis (CBA) plays a crucial role in assisting policymakers’ public investment decisions. The purpose of this paper is to draw lessons from the CBA experience under the Structural and Cohesion Funds to date. The paper reviews the main developments over the last decade, highlighting the role played by the Commission in helping foster a sound project appraisal culture in the member states. It also points out the relevance of CBA in assisting the allocation of EU funds across projects. Particularly, it is shown how the new method that will be used to determine the level of Community assistance should prevent the crowding out of other sources of finance by increasing the leverage effect and creating incentives for attracting private capital. Finally, the paper will discuss the main policy implications in terms of affordability and sustainability issues.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
Publisher Info
Paper provided by Department of Economics University of Milan Italy in its series Departemental Working Papers with number
2006-34.
References listed on IDEAS Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
Did you know? You can include your works in the database easily by uploading them on the Munich Personal RePEc Archive (MPRA) if you do not have access to an institutional RePEc archive.