IDEAS home Printed from https://ideas.repec.org/a/taf/regstd/v51y2017i6p833-843.html
   My bibliography  Save this article

Impact of European Cohesion Policy on regional growth: does local economic structure matter?

Author

Listed:
  • Marco Percoco

Abstract

Impact of European Cohesion Policy on regional growth: does local economic structure matter? Regional Studies. A growing body of literature has analysed the effect of European Cohesion Policy on regional gross domestic product (GDP) growth. The paper contributes to this literature by discussing Structural Funds and assigning an explicit role to the choice of strategy and the economic structure of regions. In particular, adopting a regression discontinuity design with heterogeneous treatment and using data on NUTS-3 regions makes it possible to identify the causal impact of Structural Funds on regional growth according to the size of the service sector, a sector that accounts for a large share of total Structural Funds expenditure. The paper shows that the larger the sector, the greater the amount of financial resources directed to services and the slower is growth. The interpretation pertaining to policy implications is that higher growth rates can be obtained by promoting the service sector at its early stages, i.e., when it is comparatively small and its potential for productivity growth is higher.

Suggested Citation

  • Marco Percoco, 2017. "Impact of European Cohesion Policy on regional growth: does local economic structure matter?," Regional Studies, Taylor & Francis Journals, vol. 51(6), pages 833-843, June.
    • Handle: RePEc:taf:regstd:v:51:y:2017:i:6:p:833-843
    DOI: 10.1080/00343404.2016.1213382
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00343404.2016.1213382
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00343404.2016.1213382?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sascha O. Becker & Peter H. Egger & Maximilian von Ehrlich, 2013. "Absorptive Capacity and the Growth and Investment Effects of Regional Transfers: A Regression Discontinuity Design with Heterogeneous Treatment Effects," American Economic Journal: Economic Policy, American Economic Association, vol. 5(4), pages 29-77, November.
    2. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769.
    3. Combes, Pierre-Philippe, 2000. "Economic Structure and Local Growth: France, 1984-1993," Journal of Urban Economics, Elsevier, vol. 47(3), pages 329-355, May.
    4. David S. Lee & Thomas Lemieux, 2010. "Regression Discontinuity Designs in Economics," Journal of Economic Literature, American Economic Association, vol. 48(2), pages 281-355, June.
    5. Imbens, Guido W. & Lemieux, Thomas, 2008. "Regression discontinuity designs: A guide to practice," Journal of Econometrics, Elsevier, vol. 142(2), pages 615-635, February.
    6. Sandy Dall’erba & Marco Percoco & Gianfranco Piras, 2009. "Service industry and cumulative growth in the regions of Europe," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 21(4), pages 333-349, July.
    7. Rita Almeida, 2007. "Local Economic Structure and Growth," Spatial Economic Analysis, Taylor & Francis Journals, vol. 2(1), pages 65-90.
    8. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, December.
    9. Marco Percoco, 2013. "Strategies of regional development in European regions: are they efficient?," Cambridge Journal of Regions, Economy and Society, Cambridge Political Economy Society, vol. 6(2), pages 303-318.
    10. Roberta Capello & Ugo Fratesi, 2013. "The Service Sector in the New Globalization Phase: Evidence from European Regions," Advances in Spatial Science, in: Juan R. Cuadrado-Roura (ed.), Service Industries and Regions, edition 127, chapter 0, pages 43-64, Springer.
    11. Raffaele Paci & Stefano Usai, 2008. "Agglomeration economies, spatial dependence and local industry growth," Revue d'économie industrielle, De Boeck Université, vol. 0(3), pages 87-109.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Brachert, Matthias & Dettmann, Eva & Titze, Mirko, 2019. "The regional effects of a place-based policy – Causal evidence from Germany," Regional Science and Urban Economics, Elsevier, vol. 79(C).
    2. Eva Dettmann & Matthias Brachert & Mirko Titze, 2016. "Identifying the Effects of Place-Based Policies - Causal Evidence from Germany," CESifo Working Paper Series 5901, CESifo.
    3. Nicolas Lagios & Pierre‐Guillaume Méon, 2024. "Experts, Information, Reviews, and Coordination: Evidence on How Prizes Affect Sales," Journal of Industrial Economics, Wiley Blackwell, vol. 72(1), pages 49-80, March.
    4. Nicolas Lagios & Pierre-Guillaume Méon, 2021. "Experts, Information, Reviews, and Coordination: Evidence on How Literary Prizes Affect Sales," Working Papers CEB 21-011, ULB -- Universite Libre de Bruxelles.
    5. Titze, Mirko & Dettmann, Eva & Brachert, Matthias, 2016. "Identifying the effects of place-based policies – Evidence from Germany," VfS Annual Conference 2016 (Augsburg): Demographic Change 145735, Verein für Socialpolitik / German Economic Association.
    6. Cuong NGUYEN, 2016. "An Introduction to Alternative Methods in Program Impact Evaluation," Journal of Economic and Social Thought, KSP Journals, vol. 3(3), pages 349-375, September.
    7. Kettlewell, Nathan & Siminski, Peter, 2020. "Optimal Model Selection in RDD and Related Settings Using Placebo Zones," IZA Discussion Papers 13639, Institute of Labor Economics (IZA).
    8. Marta Curto‐Grau & Albert Solé‐Ollé & Pilar Sorribas‐Navarro, 2017. "Does electoral competition curb party favoritism?," Working Papers 2017/04, Institut d'Economia de Barcelona (IEB).
    9. Guido Blasio & Samuele Poy, 2017. "THE IMPACT OF LOCAL WAGE REGULATION ON EMPLOYMENT: A BORDER ANALYSIS FROM ITALY IN THE 1950s," Journal of Regional Science, Wiley Blackwell, vol. 57(1), pages 48-74, January.
    10. Bai, Ying, 2019. "Farewell to confucianism: The modernizing effect of dismantling China's imperial examination system," Journal of Development Economics, Elsevier, vol. 141(C).
    11. Gurmu, Shiferaw & Sjoquist, David L. & Wheeler, Laura, 2021. "The effectiveness of job creation tax credits," Regional Science and Urban Economics, Elsevier, vol. 90(C).
    12. Roberto Basile & Valerio Filoso, 2018. "The market value of political partisanship: Quasi‐experimental evidence from municipal elections," Papers in Regional Science, Wiley Blackwell, vol. 97(S1), pages 193-209, March.
    13. Bartalotti, Otávio C. & Brummet, Quentin O., 2016. "Regression Discontinuity Designs with Clustered Data: Variance and Bandwidth Choice," Staff General Research Papers Archive 3393, Iowa State University, Department of Economics.
    14. Vergolini, Loris & Zanini, Nadir, 2015. "Away, but not too far from home. The effects of financial aid on university enrolment decisions," Economics of Education Review, Elsevier, vol. 49(C), pages 91-109.
    15. Alessio Gaggero & Joan Gil & Dolores Jiménez-Rubio & Eugenio Zucchelli, 2021. "Health information and lifestyle behaviours: the impact of a diabetes diagnosis," UB School of Economics Working Papers 2021/406, University of Barcelona School of Economics.
    16. Andrew E. Clark & Elena Stancanelli, 2016. "Individual Well-Being and the Allocation of Time Before and After the Boston Marathon Terrorist Bombing," PSE Working Papers hal-01302843, HAL.
    17. Lange, Ian & Moro, Mirko & Rahman, Mohammad, 2014. "Policy Labels and Investment Decision-making," Stirling Economics Discussion Papers 2014-01, University of Stirling, Division of Economics.
    18. Luciana Juvenal & Paulo Santos Monteiro, 2024. "Risky Gravity," Journal of the European Economic Association, European Economic Association, vol. 22(4), pages 1590-1627.
    19. Folgerø, Ingrid Kristine & Harding, Torfinn & Westby, Benjamin, 2017. "Going Fast or Going Green? Evidence from Environmental Speed Limits in Norway," Discussion Paper Series in Economics 12/2017, Norwegian School of Economics, Department of Economics.
    20. Di Giacomo, Marina & Piacenza, Massimiliano & Siciliani, Luigi & Turati, Gilberto, 2022. "The effect of co-payments on the take-up of prenatal tests," Journal of Health Economics, Elsevier, vol. 81(C).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:regstd:v:51:y:2017:i:6:p:833-843. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CRES20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.