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Under What Conditions Do Structural Funds Play a Significant Role in European Regional Economic Growth? Some Evidence from Recent Panel Data
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Under What Conditions Do Structural Funds Play a Significant Role in European Regional Economic Growth? Some Evidence from Recent Panel Data
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Journal Article
Under What Conditions Do Structural Funds Play a Significant Role in European Regional Economic Growth? Some Evidence from Recent Panel Data
2015
Overview
Strengthening economic, social, and territorial cohesion is a central objective of the European Union. However, disparities between European regions are considerable, and there are doubts as to whether they are likely to be attenuated. In recent years, there has been a growing body of literature that examines the effectiveness of the European Union's funds for promoting growth and reducing asymmetries among members. We contribute to this literature by examining the conditions under which the European Union's financial aid may be affecting regional growth. We explore the interactions between transfers and income and other regional characteristics, such as human capital or innovation. We apply this study to a panel of 137 European regions, covering the period from 1995 to 2009. Our conclusions suggest a positive and significant marginal impact of funds only in regions with low levels of human capital and innovation.
Publisher
Routledge,Taylor & Francis, Ltd,Taylor & Francis Ltd
Subject
