The Effectiveness of Structural Policy in the European Union: An Empirical Analysis for the EU-15 during the Period 1995-2001
The main aim of Structural Policy is to decrease the regional disparities within the European Union. In 2004 it is expected that ten new member countries join the EU. It is expected that this enlargement will cause strong regional disparities within the Union. For this reason the distribution of the financial support by Structural Policy will undergo drastic changes. In this study we considered two main themes. First, convergence of the current EU-member countries is empirically tested, for the period 1995-2002, and the effect of the Structural Funds in this context is identified. Structural Funds seem to have had a positive impact and poorer countries (like Greece) seem to have caught up with the richer countries. The importance of the Structural Funds in this respect can therefore not be neglected. Second, we touch upon the problem of moral hazard and the substitution effect. It may be expected that receivers of Structural Funds in some cases are not really eligible and may therefore use the Funds inefficiently. Our first and preliminary results seem to indicate that the less clean countries (or as we measure it, more ‘corrupt’ countries) of the current EU-15 do not gain less economic growth from the Structural Funds. The hypothesis that Structural Funds contributed to less interregional disparities within the current 15 European countries cannot be rejected. This might mean the intended plans of channelling a big share of the Funds to the candidate countries in 2007-13 will probably contribute to higher economic growth in these countries.
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.
|Date of creation:||Apr 2003|
|Date of revision:|
|Contact details of provider:|| Postal: Centre for Economic Policy Research, 77 Bastwick Street, London EC1V 3PZ.|
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
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.:
- Eijffinger, S.C.W. & de Haan, J., 2000.
"European Monetary and Fiscal Policy,"
Other publications TiSEM
a056022b-c6b1-4c89-bcd5-3, Tilburg University, School of Economics and Management.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:3879. 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: ()
If references are entirely missing, you can add them using this form.