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The European Funds – A Driving Engine Of Balanced Economic Development Or Of Discrepancies Between The Member States?

Author

Listed:
  • Gosa, Vasile

    () (Research Center for Romania’s Sustainable Rural Development Timişoara branch, Romanian Academy)

  • Otiman, Paun Ion
  • Mateoc Sirb, Nicoleta
  • Feher, Andrea

Abstract

The distribution of financial resources for funding agriculture and rural development programs represents one of the main components of the Common Agricultural Policy. The financial mechanisms and the criteria for public funds allocation for direct payments in agriculture are the object of some difficult, often contradictory debates, between the member states, as a result of the national priorities which are different for each state. Decoupling the payments from production and giving up the historical references for the allocation of financial resources require the EU decisionmakers to approach the support for each member state in a balanced and equidistant manner. The observance of the fundamental principle of financial solidarity and the avoidance of distortions on the common market of agri-food products should represent an absolute priority, a top desideratum of the Common Agricultural Policy.

Suggested Citation

  • Gosa, Vasile & Otiman, Paun Ion & Mateoc Sirb, Nicoleta & Feher, Andrea, 2013. "The European Funds – A Driving Engine Of Balanced Economic Development Or Of Discrepancies Between The Member States?," Agricultural Economics and Rural Development, Institute of Agricultural Economics, vol. 10(1), pages 3-18.
  • Handle: RePEc:iag:reviea:v:10:y:2013:i:1:p:3-18
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    Keywords

    European funds; direct payments; complementary payments; national ceilings;

    JEL classification:

    • Q14 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Finance

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