Fertile soil for structural funds? A panel data analysis of the conditional effectiveness of European cohesion policy

Sjef Ederveen, Henri de Groot and Richard Nahuis

No 10, CPB Discussion Paper from CPB Netherlands Bureau for Economic Policy Analysis

Abstract: Structural funds are the most intensively used policy instrument by the European Union to promote economic growth in its member states and to speed up the process of convergence. Structural funds are the most intensively used policy instrument by the European Union to promote economic growth in its member states and to speed up the process of convergence. This paper empirically explores the effectiveness of European Structural Funds by means of a panel data analysis for 13 countries in the European Union. We show that - on average - Structural Funds are ineffective. For countries with the ‘right' institutions, however, Structural Funds are effective. The latter result is obtained for a wide range of conditioning variables, such as openness, institutional quality, corruption and indicators for good governance.

JEL-codes: F35 F36 O11 O52 R58 (search for similar items in EconPapers)
Date: 2002-08
New Economics Papers: this item is included in nep-eec
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Citations: View citations in EconPapers (33)

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Related works:
Journal Article: Fertile Soil for Structural Funds?A Panel Data Analysis of the Conditional Effectiveness of European Cohesion Policy (2006)
Working Paper: Fertile Soil for Structural Funds? A panel data analysis of the conditional effectiveness of European cohesion policy (2003)
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Persistent link: https://EconPapers.repec.org/RePEc:cpb:discus:10

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