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Looking for a Star: Evaluating the Effect of the Cohesion Policy on Regional Well-Being

Author

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  • Albanese, Giuseppe

    (Bank of Italy)

  • Carrieri, Vincenzo

    (University of Calabria)

  • Speziali, Maria Maddalena

    (Magna Graecia University)

Abstract

This paper presents new evidence on the last concluded wave (2007-2013) of the EU cohesion policy. We depart from the broadly used GDP-growth approach and evaluate the impact of EU Structural Funds (SFs) on a battery of regional well-being indicators including economic, educational, health, and demographic outcomes. We exploit the SFs assignment rule to construct a fuzzy RDD. Our results reveal an overall null effect of the policy. We further identify how regional (i) quality of government (ii) human capital and (iii) urbanization impact the policy's effectiveness. We conclude that these characteristics affect the relationship between SFs and economic outcomes only.

Suggested Citation

  • Albanese, Giuseppe & Carrieri, Vincenzo & Speziali, Maria Maddalena, 2021. "Looking for a Star: Evaluating the Effect of the Cohesion Policy on Regional Well-Being," IZA Discussion Papers 14521, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp14521
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    1. Federico Aresu & Emanuela Marrocu & Raffaele Paci, 2023. "Public capital and institutions' quality in the Italian regions," Journal of Regional Science, Wiley Blackwell, vol. 63(5), pages 1284-1308, November.

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    More about this item

    Keywords

    regional well-being; cohesion policy; Fuzzy RDD;
    All these keywords.

    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • H51 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Health
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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