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Regional and agricultural policies in the EU budget: working for EU territorial cohesion?

Regional and agricultural policies in the EU budget: working for EU territorial cohesion?. Riccardo Crescenzi. Fabio Pierangeli. U.R. Università Roma Tre. OUTLINE. Research questions & Objectives EU funds and the regions Dataset: Data coverage and availability Units of analysis

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Regional and agricultural policies in the EU budget: working for EU territorial cohesion?

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  1. Regional and agricultural policies in the EU budget: working for EU territorial cohesion? Riccardo Crescenzi Fabio Pierangeli U.R. Università Roma Tre

  2. OUTLINE • Research questions & Objectives • EU funds and the regions • Dataset: • Data coverage and availability • Units of analysis • Preliminary results

  3. Research hypotheses The existing literature has observed a lack of upward mobility of Objective 1 regions and the absence of convergence across EU regions(e.g. Boldrin and Canova 2001); suggested the implementation of inappropriate policies as an explanation of the weak impact of the EU funds convergence(Cappelen et al. 2003; Rodriguez-Pose and Fratesi 2004; Schucksmith, Thomson, Roberts 2003) BUT counterfactual scenario hard to construct CONSEQUENTLY We focus our attention upon the à priori structure of policies rather than upon their impact

  4. Objectives (1) Investigate two potential explanations for the weak impact of EU policies on territorial cohesion and convergence: • à priori bias in the geographical allocation of the funds • undermines the principle of concentration • prevents the intervention from targeting the real sources of competitive disadvantage of EU regions • inconsistent\conflicting distribution of resources under different EU policies

  5. Objectives (2) By looking at the EU expenditure for the CAP and EU Regional Policy (and its evolution over time) the paper will test: • Potential inconsistencies\conflicts in the regional allocation of the funds (correlation between regional expenditure under different policy headings) • Coherence with the principle of territorial concentration (spatial structure of the funding distribution) • Capability to work pro-cohesion (Correlation with structural disadvantage) • Influence of political factors (Correlation with proxies for regional bargaining power)

  6. DATASET: policy areas, spatial scale, time span • Policy areas: • CAP: • First pillar • Second pillar • Regional policy • Geographical coverage: EU-15 • Regional level: • NUTS1 (Be, De, UK) • NUTS2 (At, Fi, Fr, Gr, It, Nl, Pt, Es, Se) • Time span: 1994-1999; 2000-2006; 2007-2013

  7. Potential inconsistencies\conflicts in the regional allocation of the funds • (correlation between regional expenditure under different policy headings)

  8. First Pillar: Germany

  9. Coherence with the principle of territorial concentration • (spatial structure of the funding distribution)

  10. Capability to work pro-cohesion • (Correlation with structural disadvantage)

  11. Influence of political factors • (Correlation with proxies for regional bargaining power)

  12. Influence of political factors • (Correlation with proxies for regional bargaining power)

  13. Influence of political factors • (Correlation with proxies for regional bargaining power)

  14. Explaining the ‘bargaining premium” • Alternative explanations in the Political Economy literature: • Administrative efficiency and governance • Party Politics • Devolution

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