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Territorial redistribution through the EU budget. Empirical evidence at national and regional levels

Author

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  • Marta Espasa

    (Institut d'Economia de Barcelona (IEB); Universitat de Barcelona (UB))

Abstract

The purpose of this paper is to estimate the redistributive effects of the European Union budget between 1995 and 1997 on the countries and regions of the EU. This analysis focuses on the main items of revenue, expenditure and net fiscal balance. The method adopted consists of two stages. First, we estimate the income elasticity of European Union revenues, expenditures and fiscal balance in order to examine the progressive degree of each instrument considered. Secondly, we analyse the impact of each of these instruments on regional and national income in order to evaluate their capacity to reduce differences in per capita income levels.

Suggested Citation

  • Marta Espasa, 2001. "Territorial redistribution through the EU budget. Empirical evidence at national and regional levels," Working Papers 2001/1, Institut d'Economia de Barcelona (IEB).
  • Handle: RePEc:ieb:wpaper:doc2001-1
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    References listed on IDEAS

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    5. Cremer, Helmuth & Pestieau, Pierre, 1996. "Distributive implications of European integration," European Economic Review, Elsevier, vol. 40(3-5), pages 747-757, April.
    6. Emerson, Michael & Gros, Daniel & Italianer, Alexander & ,, 1992. "One Market, One Money: An Evaluation of the Potential Benefits and Costs of Forming an Economic and Monetary Union," OUP Catalogue, Oxford University Press, number 9780198773245.
    7. Rafael Doménech & Antonio Maudes & Juan Varela, 2000. "Fiscal flows in Europe: The redistributive effects of the EU budget," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 136(4), pages 631-656, December.
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    Cited by:

    1. Pierfederico Asdrubali & Soyoung Kim, 2008. "The Economic Effects of the EU Budget: A VAR Analysis," Journal of Common Market Studies, Wiley Blackwell, vol. 46(5), pages 933-968, December.
    2. Santiago Lago-Peñas & Albino Prada & Alberto Vaquero, 2015. "On the size and determinants of inter-regional redistribution in European countries over the period 1995–2009," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 42(4), pages 845-864, November.
    3. Giannola, Adriano & Petraglia, Carmelo & Scalera, Domenico, 2016. "Net fiscal flows and interregional redistribution in Italy: A long-run perspective (1951–2010)," Structural Change and Economic Dynamics, Elsevier, vol. 39(C), pages 1-16.
    4. Jonathan Rodden, 2009. "Federalism and Inter-Regional Redistribution," Working Papers 2009/3, Institut d'Economia de Barcelona (IEB).
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    More about this item

    Keywords

    EU; Fiscal flows; Territorial redistribution;
    All these keywords.

    JEL classification:

    • F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies

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