The impact of EU regional support on growth and employment

Sandy Dall'erba, Julie Le Gallo

Research output: Contribution to journalArticlepeer-review


In this paper we assess the impact of structural funds on the per capita GDP and employment convergence process of 145 European regions over 1989-1999. This paper goes beyond the recent contributions on European regional policies and convergence since each of the five objectives of regional support is studied and spatial effects are included in the analysis. For this purpose we use spatial econometrics to include the relevant spatial effects in the estimation of the appropriate conditional β-convergence model. The impact of the funds and their spatial lag indicate few significant results, and when they are, their extent is very small or even negative. This raises some doubts on the efficiency of regional support and call for a deep reform for the next programming period.

Original languageEnglish (US)
Pages (from-to)325-340
Number of pages16
JournalFinance a Uver - Czech Journal of Economics and Finance
Issue number7-8
StatePublished - 2007
Externally publishedYes


  • Employment
  • European structural funds
  • Geographic spillovers
  • Growth
  • Spatial econometrics
  • β-convergence

ASJC Scopus subject areas

  • Accounting
  • Finance
  • Economics and Econometrics


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