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Macro-Regional Evaluation of the Structural Funds Using the HERMIN Modelling Framework


  • John Bradley

    (Economic and Social Research Institute (ESRI))

  • Edgar Morgenroth

    (Economic and Social Research Institute (ESRI))

  • Gerhard Untiedt

    (Gesellschaft für Finanz- und Regionalanalysen (GEFRA))


The structural fund interventions play a crucial role in improving the social and economic cohesion of the EU. A particular focus of the structural funds is on Objective 1 regions that lag behind to the extent that their GDP per capita is below 75 per cent of the EU average. The amount of investment that is funded though the Structural Funds by the EU is substantial and consequently EU legislation requires the appraisal of the structural funds. However, while systematic monitoring and evaluation frameworks are available at the national level and at the project level, a rigorous and systematic method for quantifying the socio-economic impacts of structural fund interventions on the regional economies has not been developed to the same extent. One modelling framework - HERMIN - has been widely applied to Structural Fund analysis at the national level and macro-regional level. The HERMIN framework is based on a small open economy model. Importantly, it incorporates mechanisms, which are based on the endogenous growth literature, which allow it to capture the long-run supply side impact of the Structural Funds along with the short run Keynesian impact.

Suggested Citation

  • John Bradley & Edgar Morgenroth & Gerhard Untiedt, 2003. "Macro-Regional Evaluation of the Structural Funds Using the HERMIN Modelling Framework," Papers WP152, Economic and Social Research Institute (ESRI).
  • Handle: RePEc:esr:wpaper:wp152

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    References listed on IDEAS

    1. Gabriele Tondl, 1999. "What Determined the Uneven Growth of Europe´s Southern Regions? An Empirical Study with Panel Data," Working Papers geewp04, Vienna University of Economics and Business Research Group: Growth and Employment in Europe: Sustainability and Competitiveness.
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    3. Bradley, John & Whelan, Karl, 1997. "The Irish expansionary fiscal contraction: A tale from one small European economy," Economic Modelling, Elsevier, vol. 14(2), pages 175-201, April.
    4. 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.
    5. 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.
    6. Bradley, John & Whelan, Karl & Wright, Jonathan, 1995. "HERMIN Ireland," Economic Modelling, Elsevier, vol. 12(3), pages 249-274, July.
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    Cited by:

    1. Stavarek Daniel & Tomanova Lucie, 2014. "Is the region of Visegrad countries on the track to the euro area? Recent evidence from the real convergence perspective," Экономика региона, CyberLeninka;Федеральное государственное бюджетное учреждение науки «Институт экономики Уральского отделения Российской академии наук», issue 3, pages 130-139.
    2. Tangian, Andranik S., 2005. "Composite indicator of German regional policy and its use for optimizing subsidies to regional labour markets," WSI Working Papers 138, The Institute of Economic and Social Research (WSI), Hans-Böckler-Foundation.
    3. Andries Brandsma & d'Artis Kancs & Philippe Monfort & Alexandra Rillaers, 2015. "RHOMOLO: A dynamic spatial general equilibrium model for assessing the impact of cohesion policy," Papers in Regional Science, Wiley Blackwell, vol. 94, pages 197-221, November.
    4. Brandsma, Andries & Di Comite, Francesco & Diukanova, Olga & Kancs, d’Artis & López-Rodríguez, Jesús & Persyn, Damiaan & Potters, Lesley, 2014. "Assessing policy options for the EU Cohesion Policy 2014-2020," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 29, pages 17-46.
    5. Roberto Esposti, 2008. "Regional growth convergence and EU policies: Empirical evidence and measuring problems," CESifo Forum, Ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 9(1), pages 14-22, April.
    6. Miroslav Šipikal, 2011. "Effectiveness of structural funds – microlevel perspective (case of Slovakia)," ERSA conference papers ersa11p473, European Regional Science Association.
    7. John Bradley & Timo Mitze & Edgar Morgenroth & Gerhard Untiedt, 2005. "An Integrated Micro-Macro (IMM) Approach to the Evaluation of Large-scale Public Investment Programmes: The Case of EU Structural Funds," Papers WP167, Economic and Social Research Institute (ESRI).
    8. Marek RADVANSKÝ & Tomas DOMONKOS, "undated". "Regional Disparities under Different Types of Cohesion Policy," EcoMod2010 259600138, EcoMod.
    9. Cardenete, Manuel Alejandro & Delgado, M. Carmen, 2015. "A simulation of impact of withdrawal European funds on Andalusian economy using a dynamic CGE model: 2014–20," Economic Modelling, Elsevier, vol. 45(C), pages 83-92.
    10. Edgar Morgenroth, 2006. "Economic Integration and Structural Change: The Case of Irish Regions," Papers WP176, Economic and Social Research Institute (ESRI).
    11. Simeonova-Ganeva, Ralitsa & Ganev, Kaloyan, 2013. "Ефекти От Политиките, Финансирани От Европейските Фондове: Оценяване На Въздействието На Инвестициите В Образование И Наука В България
      [Effects of EU Funded Policies: Net Impact Assessment of Inves
      ," MPRA Paper 48176, University Library of Munich, Germany.
    12. Krystyna Gawlikowska-Hueckel & Jacek Szlachta, 2016. "The Vulnerability of Polish Regions to the Challenges of the Modern Economy," Gospodarka Narodowa, Warsaw School of Economics, issue 4, pages 23-46.
    13. Moretti, Luigi, 2004. "I modelli macroeconomici per la valutazione dell'impatto dei Fondi strutturali nelle economie a Obiettivo 1
      [Macroeconomic Models Used for the Impact Evaluation of the Structural Funds in Objective
      ," MPRA Paper 18868, University Library of Munich, Germany.

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