IDEAS home Printed from https://ideas.repec.org/a/sae/envira/v48y2016i11p2340-2357.html
   My bibliography  Save this article

The EU Cohesion Policy in context: Does a bottom-up approach work in all regions?

Author

Listed:
  • Riccardo Crescenzi
  • Mara Giua

Abstract

This paper looks at the European Union as a laboratory to study how ‘spatially targeted’ policies (i.e. the European Union Cohesion and Rural Development Policies) interact with sectoral ‘spatially blind’ policies (i.e. the Common Agricultural Policy), jointly shaping regional growth dynamics. The analysis of the drivers of regional growth shows that the European Union Cohesion Policy has a positive 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 funds. The top-down funding of the Common Agricultural Policy seems to be able to concentrate some benefits in the most deprived areas of the Union. This suggests that bottom-up policies are not always the best approach to territorial cohesion. Top-down policies may – in some cases – be effective in order to channel resources to the most socio-economically deprived areas. Territorial cohesion requires the flexible integration and coordination of both bottom-up and top-down approaches.

Suggested Citation

  • Riccardo Crescenzi & Mara Giua, 2016. "The EU Cohesion Policy in context: Does a bottom-up approach work in all regions?," Environment and Planning A, , vol. 48(11), pages 2340-2357, November.
  • Handle: RePEc:sae:envira:v:48:y:2016:i:11:p:2340-2357
    as

    Download full text from publisher

    File URL: http://epn.sagepub.com/content/48/11/2340.abstract
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Rosina Moreno & Raffaele Paci & Stefano Usai, 2005. "Geographical and sectoral clusters of innovation in Europe," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 39(4), pages 715-739, December.
    2. Patrick Kline & Enrico Moretti, 2014. "People, Places, and Public Policy: Some Simple Welfare Economics of Local Economic Development Programs," Annual Review of Economics, Annual Reviews, vol. 6(1), pages 629-662, August.
    3. Roberto Camagni & Roberta Capello, 2013. "Regional Innovation Patterns and the EU Regional Policy Reform: Toward Smart Innovation Policies," Growth and Change, Wiley Blackwell, vol. 44(2), pages 355-389, June.
    4. Cornelius Bähr, 2008. "How does Sub‐National Autonomy Affect the Effectiveness of Structural Funds?," Kyklos, Wiley Blackwell, vol. 61(1), pages 3-18, February.
    5. Hausman, Jerry A & Taylor, William E, 1981. "Panel Data and Unobservable Individual Effects," Econometrica, Econometric Society, vol. 49(6), pages 1377-1398, November.
    6. Andrea Mairate, 2006. "The 'added value' of European Union Cohesion policy," Regional Studies, Taylor & Francis Journals, vol. 40(2), pages 167-177.
    7. Wolfgang Eggert & Maximilian Von Ehrlich & Robert Fenge & Günther König, 2007. "Konvergenz‐ und Wachstumseffekte der europäischen Regionalpolitik in Deutschland," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 8(2), pages 130-146, March.
    8. Mohl, Philipp & Hagen, Tobias, 2008. "Does EU Cohesion Policy Promote Growth? Evidence from Regional Data and Alternative Econometric Approaches," ZEW Discussion Papers 08-086, ZEW - Leibniz Centre for European Economic Research.
    9. Salima Bouayad Agha & Nadine Turpin & Lionel Védrine, 2010. "Fostering the potential endogenous development of European regions: a spatial dynamic panel data analysis of the Cohesion Policy on regional convergence over the period 1980-2005," Working Papers halshs-00812077, HAL.
    10. Riccardo Crescenzi & Andrés Rodríguez-Pose, 2012. "Infrastructure and regional growth in the European Union," Papers in Regional Science, Wiley Blackwell, vol. 91(3), pages 487-513, August.
    11. Khan, Muhammad & Kebewar, mazen & Nenovsky, Nikolay, 2013. "Inflation Uncertainty, Output Growth Uncertainty and Macroeconomic Performance: Comparing Alternative Exchange Rate Regimes in Eastern Europe," MPRA Paper 45523, University Library of Munich, Germany.
    12. Vassilis Monastiriotis, 2014. "Regional Growth and National Development: Transition in Central and Eastern Europe and the Regional Kuznets Curve in the East and the West," Spatial Economic Analysis, Taylor & Francis Journals, vol. 9(2), pages 142-161, June.
    13. Sjef Ederveen & Henri L.F. de Groot & Richard Nahuis, 2006. "Fertile Soil for Structural Funds?A Panel Data Analysis of the Conditional Effectiveness of European Cohesion Policy," Kyklos, Wiley Blackwell, vol. 59(1), pages 17-42, February.
    14. Andres RodrIguez-Pose & Ugo Fratesi†, 2004. "Between Development and Social Policies: The Impact of European Structural Funds in Objective 1 Regions," Regional Studies, Taylor & Francis Journals, vol. 38(1), pages 97-113.
    15. Riccardo Crescenzi & Andrés Rodríguez-Pose, 2011. "Reconciling top-down and bottom-up development policies," Working Papers 2011-03, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales.
    16. Sandy DALL’ERBA & Rachel GUILLAIN & Julie LE GALLO, 2009. "Impact Of Structural Funds On Regional Growth: How To Reconsider A 9 Year-Old Black Box," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 30, pages 77-100.
    17. Simona Iammarino, 2005. "An evolutionary integrated view of Regional Systems of Innovation: Concepts, measures and historical perspectives," European Planning Studies, Taylor & Francis Journals, vol. 13(4), pages 497-519, June.
    18. Riccardo Crescenzi & Fabrizio De Filippis & Fabio Pierangeli, 2015. "In Tandem for Cohesion? Synergies and Conflicts between Regional and Agricultural Policies of the European Union," Regional Studies, Taylor & Francis Journals, vol. 49(4), pages 681-704, April.
    19. Maureen Kilkenny, 2010. "Urban/Regional Economics And Rural Development," Journal of Regional Science, Wiley Blackwell, vol. 50(1), pages 449-470, February.
    20. Andres Rodriguez-Pose & Riccardo regstdcenzi, 2008. "Research and Development, Spillovers, Innovation Systems, and the Genesis of Regional Growth in Europe," Regional Studies, Taylor & Francis Journals, vol. 42(1), pages 51-67.
    21. Kato, Kengo & F. Galvao, Antonio & Montes-Rojas, Gabriel V., 2012. "Asymptotics for panel quantile regression models with individual effects," Journal of Econometrics, Elsevier, vol. 170(1), pages 76-91.
    22. Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
    23. Riccardo Crescenzi, 2005. "Innovation and Regional Growth in the Enlarged Europe: The Role of Local Innovative Capabilities, Peripherality, and Education," Growth and Change, Wiley Blackwell, vol. 36(4), pages 471-507, September.
    24. Sjed Ederveen & Joeri Gorter & Ruud de Mooij & Richard Nahuis, 2003. "Funds and Games: The Economics of European Cohesion Policy," Occasional Papers 03, European Network of Economic Policy Research Institutes.
    25. repec:oup:ecpoli:v:17:y:2002:i:35:p:321-359 is not listed on IDEAS
    26. Roberto Esposti & Stefania Bussoletti, 2008. "Impact of Objective 1 Funds on Regional Growth Convergence in the European Union: A Panel-data Approach," Regional Studies, Taylor & Francis Journals, vol. 42(2), pages 159-173.
    27. Elias Soukiazis & Micaela Antunes, 2006. "Two Speed Regional Convergence In Portugal And the Importance of Structural Funds on Growth," Ekonomia, Cyprus Economic Society and University of Cyprus, vol. 9(2), pages 222-241, Winter.
    28. Aadne Cappelen & Fulvio Castellacci & Jan Fagerberg & Bart Verspagen, 2003. "The Impact of EU Regional Support on Growth and Convergence in the European Union," Journal of Common Market Studies, Wiley Blackwell, vol. 41(4), pages 621-644, September.
    29. Roberta Capello & Camilla Lenzi, 2013. "Territorial Patterns of Innovation and Economic Growth in European Regions," Growth and Change, Wiley Blackwell, vol. 44(2), pages 195-227, June.
    30. repec:ran:wpaper:824 is not listed on IDEAS
    31. Ramajo, Julián & Márquez, Miguel A. & Hewings, Geoffrey J.D. & Salinas, María M., 2008. "Spatial heterogeneity and interregional spillovers in the European Union: Do cohesion policies encourage convergence across regions?," European Economic Review, Elsevier, vol. 52(3), pages 551-567, April.
    32. Roberto Esposti, 2007. "Regional Growth and Policies in the European Union: Does the Common Agricultural Policy Have a Counter-Treatment Effect?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(1), pages 116-134.
    33. David Powell & Joachim Wagner, 2011. "The Exporter Productivity Premium along the Productivity Distribution Evidence from Unconditional Quantile Regression with Firm Fixed Effects," Working Papers 837, RAND Corporation.
    34. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Riccardo Crescenzi & Mara Giua, 2018. "One or Many Cohesion Policies of the European Union? On the Diverging Impacts of Cohesion Policy across Member States," SERC Discussion Papers 0230, Spatial Economics Research Centre, LSE.
    2. Cerciello, Massimiliano & Agovino, Massimiliano & Garofalo, Antonio, 2019. "The caring hand that cripples? The effects of the European regional policy on local labour market participation in Southern Italy," Socio-Economic Planning Sciences, Elsevier, vol. 68(C).
    3. Dicharry, Benoit & Nguyen-Van, Phu & Pham, Thi Kim Cuong, 2019. "“The winner takes it all” or a story of the optimal allocation of the European Cohesion Fund," European Journal of Political Economy, Elsevier, vol. 59(C), pages 385-399.
    4. Marco Di Cataldo & Vassilis Monastiriotis, 2020. "Regional needs, regional targeting and regional growth: an assessment of EU Cohesion Policy in UK regions," Regional Studies, Taylor & Francis Journals, vol. 54(1), pages 35-47, January.
    5. Cristina Vaquero-Piñeiro, 2020. "A voyage in the role of territory: are territories capable of instilling their peculiarities in local production systems," Departmental Working Papers of Economics - University 'Roma Tre' 0251, Department of Economics - University Roma Tre.
    6. Riccardo Crescenzi & Guido de Blasio & Mara Giua, 2020. "Cohesion Policy incentives for collaborative industrial research: evaluation of a Smart Specialisation forerunner programme," Regional Studies, Taylor & Francis Journals, vol. 54(10), pages 1341-1353, October.
    7. Hasan Dudu & Emanuele Ferrari, 2018. "Estimation and Modelling Impacts of Pillar 2 Measures on the Agricultural Sector: Workshop proceedings," JRC Working Papers JRC111756, Joint Research Centre (Seville site).
    8. Mindaugas Butkus & Alma Maciulyte-Sniukiene & Kristina Matuzeviciute, 2020. "Heterogeneous growth outcomes of the EU’s regional financial support mediated by institutions with some empirical evidences at NUTS 3 level," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 40(1), pages 33-66, April.
    9. Krieger-Boden, Christiane, 2016. "EU cohesion policy, past and present: Sustaining a prospering and fair European Union?," Kiel Working Papers 2037, Kiel Institute for the World Economy (IfW).
    10. Benoit Dicharry & Nguyen-Van Phu & Thi Kim Cuong Pham, 2019. "La politique de cohésion de l’UE et la convergence économique," Bulletin de l'Observatoire des politiques économiques en Europe, Observatoire des Politiques Économiques en Europe (OPEE), vol. 41(1), pages 5-11, November.
    11. Marco Di Cataldo, 2016. "Gaining and losing EU Objective 1 funds: Regional development in Britain and the prospect of Brexit," LEQS – LSE 'Europe in Question' Discussion Paper Series 120, European Institute, LSE.
    12. Marco Di Cataldo & Vassilis Monastiriotis, 2018. "An assessment of EU Cohesion Policy in the UK regions: direct effects and the dividend of targeting," LEQS – LSE 'Europe in Question' Discussion Paper Series 135, European Institute, LSE.
    13. Stigendal, Mikael & Novy, Andreas, 2018. "A critical realist knowledge production: Enhancing a Potential-oriented Approach," SRE-Discussion Papers 2018/06, WU Vienna University of Economics and Business.
    14. Manevska-Tasevska, Gordana & Hansson, Helena & Asmild, Mette & Surry, Yves, 2021. "Exploring the regional efficiency of the Swedish agricultural sector during the CAP reforms ‒ multi-directional efficiency analysis approach," Land Use Policy, Elsevier, vol. 100(C).
    15. Mikael Stigendal & Andreas Novy, 2018. "A critical realist knowledge production: Enhancing a Potential-oriented Approach," SRE-Disc sre-disc-2018_06, Institute for Multilevel Governance and Development, Department of Socioeconomics, Vienna University of Economics and Business.
    16. Benoit Dicharry & Nguyen-Van Phu & Thi Kim Cuong Pham, 2019. "La politique de cohésion de l’UE et la convergence économique," Bulletin de l'Observatoire des politiques économiques en Europe, Observatoire des Politiques Économiques en Europe (OPEE), vol. 41(1), pages 5-11, November.
    17. Giannakis, Elias & Bruggeman, Adriana, 2018. "Exploring the labour productivity of agricultural systems across European regions: A multilevel approach," Land Use Policy, Elsevier, vol. 77(C), pages 94-106.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Riccardo Crescenzi & Fabrizio De Filippis & Fabio Pierangeli, 2015. "In Tandem for Cohesion? Synergies and Conflicts between Regional and Agricultural Policies of the European Union," Regional Studies, Taylor & Francis Journals, vol. 49(4), pages 681-704, April.
    2. Tobias Hagen & Philipp Mohl, 2011. "Econometric Evaluation of EU Cohesion Policy: A Survey," Chapters, in: Miroslav N. Jovanović (ed.), International Handbook on the Economics of Integration, Volume III, chapter 16, Edward Elgar Publishing.
    3. Enrico Fabrizi & Gianni Guastella & Stefano Marta & Francesco Timpano, 2016. "Determinants of Intra-Distribution Dynamics in European Regions: An Empirical Assessment of the Role of Structural Intervention," Tijdschrift voor Economische en Sociale Geografie, Royal Dutch Geographical Society KNAG, vol. 107(5), pages 522-539, December.
    4. Mara Giua, 2014. "Spatial Discontinuity for the Impact Assessment of the EU Regional Policy. The Case of Italian Objective 1 Regions," Departmental Working Papers of Economics - University 'Roma Tre' 0197, Department of Economics - University Roma Tre.
    5. Rodríguez-Pose, Andrés & Novak, Katja, 2013. "Learning processes and economic returns in European Cohesion policy," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 25, pages 1-20.
    6. Mohl, P. & Hagen, T., 2010. "Do EU structural funds promote regional growth? New evidence from various panel data approaches," Regional Science and Urban Economics, Elsevier, vol. 40(5), pages 353-365, September.
    7. Marco Di Cataldo, 2016. "Gaining and losing EU Objective 1 funds: Regional development in Britain and the prospect of Brexit," LEQS – LSE 'Europe in Question' Discussion Paper Series 120, European Institute, LSE.
    8. Jonathan Eberle & Thomas Brenner, 2016. "More bucks, more growth, more justice? The effects of regional structural funds on regional economic growth and convergence in Germany," Working Papers on Innovation and Space 2016-01, Philipps University Marburg, Department of Geography.
    9. Mohl, Philipp & Hagen, Tobias, 2008. "Does EU Cohesion Policy Promote Growth? Evidence from Regional Data and Alternative Econometric Approaches," ZEW Discussion Papers 08-086, ZEW - Leibniz Centre for European Economic Research.
    10. Fratesi, Ugo & Perucca, Giovanni, 2014. "Territorial Capital and the Effectiveness of Cohesion Policies: an Assessment for CEE Regions," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 29, pages 165-191.
    11. 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.
    12. Matthias Firgo & Peter Mayerhofer, 2015. "Wissens-Spillovers und regionale Entwicklung - welche strukturpolitische Ausrichtung optimiert des Wachstum?," Working Paper Reihe der AK Wien - Materialien zu Wirtschaft und Gesellschaft 144, Kammer für Arbeiter und Angestellte für Wien, Abteilung Wirtschaftswissenschaft und Statistik.
    13. Sandy Dall'erba & Julie Le Gallo, 2008. "Regional convergence and the impact of European structural funds over 1989–1999: A spatial econometric analysis," Papers in Regional Science, Wiley Blackwell, vol. 87(2), pages 219-244, June.
    14. Aiello, Francesco & Pupo, Valeria, 2012. "Structural funds and the economic divide in Italy," Journal of Policy Modeling, Elsevier, vol. 34(3), pages 403-418.
    15. Matthias Firgo & Peter Mayerhofer, 2015. "Wissensintensive Unternehmensdienste, Wissens-Spillovers und regionales Wachstum. Teilprojekt 1: Wissens-Spillovers und regionale Entwicklung – Welche strukturpolitische Ausrichtung optimiert das Wach," WIFO Studies, WIFO, number 58342, December.
    16. Davide Fiaschi & Andrea Mario Lavezzi & Angela Parenti, 2018. "Does EU cohesion policy work? Theory and evidence," Journal of Regional Science, Wiley Blackwell, vol. 58(2), pages 386-423, March.
    17. Mindaugas Butkus & Alma Maciulyte-Sniukiene & Kristina Matuzeviciute, 2020. "Heterogeneous growth outcomes of the EU’s regional financial support mediated by institutions with some empirical evidences at NUTS 3 level," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 40(1), pages 33-66, April.
    18. Andrés Rodríguez-Pose & Marco Di Cataldo, 2015. "Quality of government and innovative performance in the regions of Europe," Journal of Economic Geography, Oxford University Press, vol. 15(4), pages 673-706.
    19. Sarantis Lolos, 2009. "The effect of EU structural funds on regional growth: assessing the evidence from Greece, 1990–2005," Economic Change and Restructuring, Springer, vol. 42(3), pages 211-228, August.
    20. Raffaele Paci & Emanuela Marrocu, 2013. "Knowledge Assets and Regional Performance," Growth and Change, Wiley Blackwell, vol. 44(2), pages 228-257, June.

    More about this item

    Keywords

    Regional Policy; Cohesion Policy; European Union; regional growth; bottom-up policies; 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

    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:sae:envira:v:48:y:2016:i:11:p:2340-2357. 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: (SAGE Publications). General contact details of provider: .

    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 CitEc recognized a reference but did not link an item in RePEc 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 RePEc Author Service 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.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.