Cohesion Policy Flashcards
Main Goal
reducing regional disparities in
- Income
- economic growth
- employment
needed beaches of disparities between region in EU
aim
promote balanced & sustainable economic and social progress
Strengthen economic and social cohesion by encouraging convergence
Disparities could be overcome by
- creating a favorable environment for business
- redistribution because of equity reasons
tools to measure disparity
Income per capital
Labour productivity
Employment rate
Living standard (health, services, enviroment..)
European integration lead to more or less disparity –> different ideas
less:
free trade -> theory of comparative advantage -> specialization -> win-win situation for all region
capital and labour mobility -> equalizing effects
more:
modern growth they: more prosperous areas will enjoy long term growth knowledge & innovation tend to concentrate in certain areas
Economy of scale -> concentration
reduced transport costs -> concentration
internal market program: aim
free movement of people, goods, services & capital in order to stimulate economic growth in Europe
not crear in European integration would reduce or increase regional disparities
Instrument of Cohesion policy
European social Fund
-aim to: increasing adaptability of workers and enterprises, promoting training programs, combating discrimination
European regional development fund
-aim to: encouraging public & private investment by supporting Research & innovation, infrastructure projects, environmental protection, education & training, tourism, culture
Cohesion fund
- assistance to member state to be able to meet competitive pressures from European Economic & Monetary Union
- Criteria: GDP < 90% of community average (Eastern MS, Gre, Pt, Esp)