• P-ISSN 0974-6846 E-ISSN 0974-5645

Indian Journal of Science and Technology


Indian Journal of Science and Technology

Year: 2015, Volume: 8, Issue: Supplementary 1, Pages: 1-6

Original Article

A Tradeoff between National Income and Regional Growth: Evidence from the EU


The purpose of the paper is to empirically investigate the effect of national economic conditions on regional growth from the point of view of local economies. The study utilizes a set of cross-sectional data for sub-national regions in EU member countries. The empirical findings suggest both the existence of a tradeoff between national income and regional growth and the harmful effect of national income on regional convergence. Another finding also confirms the ineffectiveness of EU regional policies, measured by EU structural funds.
Keywords: National Income, Regional Cohesion, Regional Growth, Structural Funds, Unemployment


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