European cohesion policy and the Spanish economy: A policy discussion case
This paper offers an empirical evaluation of the economic effects of the European Structural and Cohesion aids received by Spain in the period 1989 through 2006 amounting to a total of almost [euro]100 billion at 1999 prices. To that end, we use the HERMIN-Spain model. Our results suggest that these EU packages have contributed significantly to Spanish economic growth having increased the levels of income and promoting real convergence with the most advanced economies of the Union. The successive aid programmes produced an average increase of almost 0.4 percentage points in the real annual growth rate of the Spanish economy with respect to the situation that would have ensued without the European grants. This translates into an average increase in per capita income of [euro]638 each year (at 1999 prices) over the entire period, and of [euro]1027 per capita if we refer to the period 2000 through 2006. Without the structural aids, in 2006, the Spanish per capita income index relative to the average for EU-15 would be, ceteris paribus, almost 6 percentage points lower. The paper ends with a simulation of the likely consequences due to the reduction in structural and cohesion grants suffered by many Spanish regions that will cease to belong to the Objective 1 club after 2007 as a result of their natural or statistical convergence.
If you experience problems downloading a file, check if you have the proper application to view it first. 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.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
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.:
- André Sapir & Philippe Aghion & Giuseppe Bertola & Martin Hellwig & Jean Pisani-Ferry & Bernard Lange & José Viñals & Helen Wallace & Marco Buti & Mario Nava & Peter Smith, 2004.
"An agenda for a growing Europe: the Sapir report,"
ULB Institutional Repository
2013/8070, ULB -- Universite Libre de Bruxelles.
- Valadkhani, Abbas, 2004.
"History of macroeconometric modelling: lessons from past experience,"
Journal of Policy Modeling,
Elsevier, vol. 26(2), pages 265-281, February.
- Abbas Valadkhani, 2003. "History Of Macroeconometric Modelling: Lessons From Past Experience," School of Economics and Finance Discussion Papers and Working Papers Series 131, School of Economics and Finance, Queensland University of Technology.
- Francesco Caselli & Silvana Tenreyro, 2005.
"Is Poland the next Spain?,"
LSE Research Online Documents on Economics
3564, London School of Economics and Political Science, LSE Library.
- Francesco Caselli & Silvana Tenreyro, 2004. "Is Poland the next Spain?," Communities and Banking, Federal Reserve Bank of Boston.
- Francesco Caselli & Silvana Tenreyro, 2006. "Is Poland the Next Spain?," NBER Chapters, in: NBER International Seminar on Macroeconomics 2004, pages 459-533 National Bureau of Economic Research, Inc.
- Caselli, Francesco & Tenreyro, Silvana, 2005. "Is Poland the Next Spain?," CEPR Discussion Papers 4877, C.E.P.R. Discussion Papers.
- Francesco Caselli & Silvana Tenreyro, 2005. "Is Poland the Next Spain?," CEP Discussion Papers dp0668, Centre for Economic Performance, LSE.
- Francesco Caselli & Silvana Tenreyro, 2005. "Is Poland the Next Spain?," NBER Working Papers 11045, National Bureau of Economic Research, Inc.
- Herce, Jose-Antonio & Sosvilla-Rivero, Simon, 1995. "HERMIN Spain," Economic Modelling, Elsevier, vol. 12(3), pages 295-311, July.
- Bradley, John & Modesto, Leonor & Sosvilla-Rivero, Simon, 1995. "Similarity and diversity in the EU periphery : A HERMIN-based investigation," Economic Modelling, Elsevier, vol. 12(3), pages 313-322, July.
- Gramlich, Edward M, 1994. "Infrastructure Investment: A Review Essay," Journal of Economic Literature, American Economic Association, vol. 32(3), pages 1176-96, September.
- de la Fuente, A., 1997. "Fiscal policy and Growth in The OECD. Volume II: Appendix," UFAE and IAE Working Papers 401.97, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Polo, Clemente & Sancho, Ferran, 1993.
"An analysis of Spain's integration in the EEC,"
Journal of Policy Modeling,
Elsevier, vol. 15(2), pages 157-178, April.
- Bradley, John & Modesto, Leonor & Sosvilla-Rivero, Simon, 1995. "HERMIN : A macroeconometric modelling framework for the EU periphery," Economic Modelling, Elsevier, vol. 12(3), pages 221-247, July.
- Bradley, John & Fitzgerald, John, 1988. "Industrial output and factor input determination in an econometric model of a small open economy," European Economic Review, Elsevier, vol. 32(6), pages 1227-1241, July.
- de la Fuente, Angel, 1997. "Fiscal Policy and Growth in the OECD," CEPR Discussion Papers 1755, C.E.P.R. Discussion Papers.
- Christodoulakis, Nicos M. & Kalyvitis, Sarantis, 2000. "The Effects of the Second Community Support Framework 1994-99 on the Greek Economy," Journal of Policy Modeling, Elsevier, vol. 22(5), pages 611-624, September.
When requesting a correction, please mention this item's handle: RePEc:eee:jpolmo:v:30:y:2008:i:3:p:559-570. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)
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.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.