The main achievements of the EU structural funds 2007?2013 in the EU member states: efficiency analysis of transport sector

Authors

  • Lukáš Melecký VSB-Technical University of Ostrava

DOI:

https://doi.org/10.24136/eq.2018.015

Keywords:

DEA, efficiency, European Regional Development Fund, ex-post evaluation, Cohesion Fund

Abstract

Research background: The European Union currently provides financial support to the Member States through various financial tools from European Structural and Investment Funds 2014?2020, and previously from the EU Structural Funds. In both terminologies, the funds represent the main instrument of EU Cohesion Policy to sustain territorial development, to increase competitiveness and to eliminate regional disparities. The overall impact of EU Funds depends on the structure of funding and absorption capacity of the country.

Purpose of the article: The efficiency of funding across the EU Member States is a fundamental issue for EU development as a whole. The Author considers deter-mining the efficiency of EU Funds as an issue of high importance, and therefore this paper provides a contribution to the debate on the role of EU Cohesion Policy in the Member States. The paper focuses on territorial effects of relevant EU Funds in programming period 2007?2013 in infrastructure through efficiency analysis.

Methods: Efficiency analysis is based on data at the country level, originating from ex-post evaluation of Cohesion Policy programmes 2007?2013 and representing the input and output variables to analyse whether the goal of fostering growth in the target countries have been achieved with the funds provided, and whether or not more resources generated stronger growth effects in transport accessibility. The paper deals with comparative cross-country analysis, descriptive analysis of dataset and multiple-criteria approach of Data Envelopment Analysis (DEA) in the form of output-oriented BCC VRS model of efficiency and output-oriented APM VRS subsequently model of super-efficiency.

Findings & Value added: The paper aims to test the factors of two inputs and five outputs, trying to elucidate the differences obtained by the Member States in effective use of the European Regional Development Fund and the Cohesion Fund in the transport sector. The paper determines if the countries have been more efficient in increasing their levels of competitive advantages linked with transport. Preliminary results reveal that most countries with a lower amount of funding achieve higher efficiency, especially countries in a group of so-called ?old EU Member States?, i.e. group EU15.

Downloads

Download data is not yet available.

References

Aiello, F., & Pupo, V. (2012). Structural funds and the economic divide in Italy. Journal of Policy Modeling, 34(3). doi: 10.1016/j.jpolmod.2011.10.006. DOI: https://doi.org/10.1016/j.jpolmod.2011.10.006
View in Google Scholar

Andersen, P., & Petersen, N.C. (1993). A procedure for ranking efficient units in data envelopment analysis. Management Science, 39(10). doi: 10.1287/ mnsc.39.10.1261. DOI: https://doi.org/10.1287/mnsc.39.10.1261
View in Google Scholar

Annoni, P., & Dijkstra, L. (2013). EU Regional Competitiveness Index 2013. Luxembourg: Publication Office of the European Union.
View in Google Scholar

Balcerzak, A. P., Kliestik, T., Streimikiene, D., & Smrčka L. (2017). Non-parametric approach to measuring the efficiency of banking sectors in European Union Coun-tries. Acta Polytechnica Hungarica, 14(7). doi: 10.12700/APH.14.7.2017.7. DOI: https://doi.org/10.12700/APH.14.7.2017.7.4
View in Google Scholar

Becker, S. O., Egger, P. H., & von Ehrlich, M. (2010). Going NUTS: the effect of EU structural funds on regional performance. Journal of Public Economics, 94(9-10). doi: 10.1016/j.jpubeco.2010.06.006. DOI: https://doi.org/10.1016/j.jpubeco.2010.06.006
View in Google Scholar

Becker, S. O., Egger, P. H., & von Ehrlich, M. (2012). Too much of a good thing? On the growth effects of the EU's regional policy. European Economic Review, 56(4). doi: 10.1016/j.euroecorev.2012.03.001. DOI: https://doi.org/10.1016/j.euroecorev.2012.03.001
View in Google Scholar

Brzakova, K., & Pridalova, K. (2016). Comparison of investment costs for companies using EU structural funds and investment incentives. Procedia Economics and Finance, 39(2016). doi: 10.1016/S2212-5671(16)30283-0. DOI: https://doi.org/10.1016/S2212-5671(16)30283-0
View in Google Scholar

Cardenete, M. A., & Delgado, M.C. (2015). A simulation of impact of withdrawal European funds on Andalusian economy using a dynamic CGE model: 2014–20. Economic Modelling, 45(2015). doi: 10.1016/j.econmod.2014.09.021. DOI: https://doi.org/10.1016/j.econmod.2014.09.021
View in Google Scholar

Caves, D. W., Christensen, L., & Diewert, E. W. (1982). The economic theory of index numbers and the measurement of input, output, and productivity. Econometrica, 50(6). doi: 10.2307/1913388. DOI: https://doi.org/10.2307/1913388
View in Google Scholar

Cook, W. D., & Seiford, L. M. (2009). Data envelopment analysis (DEA) – thirty years on. European Journal of Operation Research, 192(1). doi: 10.1016/j.ejor.2008.01.032. DOI: https://doi.org/10.1016/j.ejor.2008.01.032
View in Google Scholar

Disjktra, L., Annoni, A., & Kozovska, K. (2011). A new regional competitiveness index: theory, methods and findings. European Commission, Regional Policy Working Paper, 2/2011.
View in Google Scholar

Dragan, G. (2012). EU Structural Instruments key component in improving the Romanian macroeconomic stability? Procedia Economics and Finance, 3(2012). doi: 10.1016/S2212-5671(12)00294-8. DOI: https://doi.org/10.1016/S2212-5671(12)00294-8
View in Google Scholar

Enguix, M. R. M., García, J. G., & Gallego, J. C. G. (2012). An impact analysis of the European structural funds on the variation of the rate of employment and productivity in objective 1 regions. European Planning Studies, 20(4). doi: 10.1080/09654313.2012.665038. DOI: https://doi.org/10.1080/09654313.2012.665038
View in Google Scholar

EUR-Lex (1957). Treaty of Rome (EEC). Retrieved from http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv%3Axy0023 (23.02.2017).
View in Google Scholar

European Commission (2016). Evaluations of the 2007-2013 programming period: ex post evaluation of the ERDF and CF: key outcomes of cohesion policy in 2007-2013. Retrieved from http://ec.europa.eu/regional_policy/en/information/ publications/evaluations?title=Work+Package+1+&themeId=0&tObjectiveId =ALL&typeId=4&countryId=0&periodId=2&fundId=0&policyId=5&languageCode=en&search=1 (20.02.2017).
View in Google Scholar

Farrell, M. J. (1957). The measurement of productivity efficiency. Journal of the Royal Statistical Society, 120(3). doi: 10.2307/2343100. DOI: https://doi.org/10.2307/2343100
View in Google Scholar

Gherman, M. G. (2014). An examination of the Romanian state budget regarding the European funds: co-financing provisions. Procedia - Social and Behavioral Sciences, 116(2014). doi: 10.1016/j.sbspro.2014.01.770. DOI: https://doi.org/10.1016/j.sbspro.2014.01.770
View in Google Scholar

Górniak, J. (2016). The spatial autocorrelation analysis for transport accessibility in selected regions of the European Union. Comparative Economic Research, 19(5). doi: 10.1515/cer-2016-0036. DOI: https://doi.org/10.1515/cer-2016-0036
View in Google Scholar

Grmanová, E., & Pukala, R. (2018). Efficiency of insurance companies in the Czech Republic and Poland. Oeconomia Copernicana, 9(1). doi: 10.24136/oc.2018.004. DOI: https://doi.org/10.24136/oc.2018.004
View in Google Scholar

Hapenciuc, C. V., Morosan, A. A., & Arionesei, G. (2013). Absorption of structural funds international comparisons and correlations. Procedia Economics and Finance, 6(2013). doi: 10.1016/S2212-5671(13)00139-1. DOI: https://doi.org/10.1016/S2212-5671(13)00139-1
View in Google Scholar

Healy, A., & Bristow, G. (2013). Economic crisis and the structural funds. Retrieved from http://www.espon.eu/export/sites/default/Documents/Press/ PressReleases/2013-Article/OD-ECR2-article_Economic-Crisis-and-the-Struct ural-Funds.pdf (22.02.2017).
View in Google Scholar

Katsarova, I. (2013). The (low) absorption of EU structural funds. Library Briefing: Library of the European Parliament, 130544REV1.
View in Google Scholar

Lucian, P. (2014). Absorption of European funds by Romania. Procedia Economics and Finance, 16(2014). doi: 10.1016/S2212-5671(14)00838-7. DOI: https://doi.org/10.1016/S2212-5671(14)00838-7
View in Google Scholar

Melecký, L. (2017). Efficiency analysis of ERDF and CF co-financed programmes focusing on the transport in member states of the European Union. In A. P. Balcerzak, M. B. Pietrzak (Eds.). Proceedings of the 9th international conference on applied economics contemporary issues in economy: quantitative methods. Toruň: Institute of Economic Research & Polish Economic Society.
View in Google Scholar

Melecký, L. (2013). Use of DEA approach to measuring efficiency trend in old EU member states. In A. Kocourek (Ed.). Proceedings of the 11th international conference on Liberec Economic Forum. Liberec: Technical University Liberec.
View in Google Scholar

Melecký, L., & Staníčková, M. (2014). Regional efficiency evaluation by DEA approach: comparison of selected EU15 and EU13 countries. In I. Honová (Ed.). Proceedings of the 2nd international conference on European integration. Ostrava: VŠB-Technical University Ostrava.
View in Google Scholar

Mohl, P., & Hagen, T. (2010). Do EU structural funds promote regional growth? New evidence from various panel data approaches. Regional Science and Urban Economics, 40(5). doi: 10.1016/j.regsciurbeco.2010.03.005. DOI: https://doi.org/10.1016/j.regsciurbeco.2010.03.005
View in Google Scholar

Rogalska, E. R., Pietrzak, M. B., & Balcerzak, A. P. (2017). Do European funds for sustainable growth policy support convergence process?. In T. Loster & T. Pavelka (Eds.). The 11th international days of statistics and economics. Confer-ence proceedings. Prague: Melandrium.
View in Google Scholar

Rubini, L. (2010). The definition of subsidy and state Aid: WTO and EC in comparative perspective. Oxford: Oxford University Press. DOI: https://doi.org/10.1093/acprof:oso/9780199533398.001.0001
View in Google Scholar

Staníčková, M. (2017). Can the implementation of the Europe 2020 strategy goals be efficient? The challenge for achieving social equality in the European Union. Equilibrium. Quarterly Journal of Economics and Economic Policy, 12(3). doi: 10.24136/eq.v12i3.20. DOI: https://doi.org/10.24136/eq.v12i3.20
View in Google Scholar

Staníčková, M. (2014). Measuring the efficiency of EU13 NUTS 2 regions based on RCI approach. In V. Klímová & Žítek, V. (Eds.). In 17th international colloquium on regional sciences. Brno: Masaryk University. DOI: https://doi.org/10.5817/CZ.MUNI.P210-6840-2014-8
View in Google Scholar

Staníčková, M., Melecký, L. (2016). Malmquist index approach to efficiency analysis in selected old and new EU Member States. ER-CEREI, 19(2016). doi: 10.7327/cerei.2016.09.02.
View in Google Scholar

Sucháček, J. (2013). Investment location from the perspective of urban and regional activities in the Czech Republic. In M. Čulík (Ed.). In 9th international scientific conference on financial management of firms and financial institutions location. Ostrava: VŠB-TU Ostrava.
View in Google Scholar

Štreimikienė, D. (2016). Review of financial support from EU structural funds to sustainable energy in Baltic States. Renewable and Sustainable Energy Reviews, 58(2016). doi: 10.1016/j.rser.2015.12.306. DOI: https://doi.org/10.1016/j.rser.2015.12.306
View in Google Scholar

Tatulescu, A., & Patruti, A. (2014). Structural funds and economic crises: Romania’s absorption paradox. Procedia Economics and Finance, 16(2014). doi: 10.1016/S2212-5671(14)00775-8. DOI: https://doi.org/10.1016/S2212-5671(14)00775-8
View in Google Scholar

Tödtling–Schönhofer, H., Hamza, Ch., Resch, A., Polverari, L., & Bachtler, J. (2011). Impact and effectiveness of the structural funds and EU policies aimed at SMEs in the regions. European Parliament, Working Study IP/B/REGI/FWC/2010-002/LOT1/C1/SC1.
View in Google Scholar

Toloo, M., Barat, M., & Masoumzadeh, A. (2015). Selective measures in data envelopment analysis. Annals of Operations Research, 226(1). doi: 10.1007/s10479-014-1714-3. DOI: https://doi.org/10.1007/s10479-014-1714-3
View in Google Scholar

Downloads

Published

30-06-2018

Issue

Section

Articles

How to Cite

Melecký, L. (2018). The main achievements of the EU structural funds 2007?2013 in the EU member states: efficiency analysis of transport sector. Equilibrium. Quarterly Journal of Economics and Economic Policy, 13(2), 285-306. https://doi.org/10.24136/eq.2018.015

Similar Articles

81-90 of 343

You may also start an advanced similarity search for this article.