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The Impact of CAP and EU Cohesion Support on Growth and Convergence of the Eastern Slovenia Region in the Period 2007-2013

Author

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  • Juvancic, Luka
  • Kuhar, Ales
  • Sila, Urban
  • Erjavec, Emil

Abstract

The paper investigates economic performance of the Eastern Slovenia region in the changed economic and policy environment after the accession to the EU. The likely impacts of public expenditure in the field of cohesion and agricultural policy in the period of the Community financial perspective 2007-2013 are analysed by the regional Input/Output model estimated with modified GRIT methodology. Results of the impact analysis carried out by application of various policy scenarios suggest that: (i) the analysed funds can significantly contribute to the overall output growth of the regional economy; (ii) EU budgetary inflows contribute to economic convergence of the region; (iii) differences between the projected impacts primarily depend on the regional division of Slovenia at the NUTS 2 level; (iv) favourable prospects can be impaired by various limiting factors. Concerning the impacts of CAP expenditure, the paper argues against the popular opinion about its low redistributive and short-term effects.

Suggested Citation

  • Juvancic, Luka & Kuhar, Ales & Sila, Urban & Erjavec, Emil, 2005. "The Impact of CAP and EU Cohesion Support on Growth and Convergence of the Eastern Slovenia Region in the Period 2007-2013," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24766, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae05:24766
    DOI: 10.22004/ag.econ.24766
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    References listed on IDEAS

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    1. 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.
    2. A. P. Thirlwall, 1989. "Growth and Development," Palgrave Macmillan Books, Palgrave Macmillan, edition 0, number 978-1-349-19837-5, October.
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    Cited by:

    1. Lillemets, Jüri & Fertő, Imre & Viira, Ants-Hannes, 2022. "The socioeconomic impacts of the CAP: Systematic literature review," Land Use Policy, Elsevier, vol. 114(C).

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