CefES-JRC Webinar "What are the likely macroeconomic effects of the EU Recovery Plan?"

Webinar by Evi Pappa (University of Madrid, Carlos III) about the dynamic macroeconomic effects of the two largest EU regional structural funds.

Professor Pappa presents her latest paper "What are the likely macroeconomic effects of the EU Recovery Plan?", with Fabio Canova.

Abstract

The paper examines the dynamic macroeconomic effects of the two largest EU regional structural funds. On average, ERDF funds have significant positive short term consequences on regional macroeconomic variables and gains dissipate almost entirely within three years. ESF funds have negative impact effects on regional variables, but their average cumulative medium term multipliers are positive and economically significant. We detect important regional asymmetries which may induce differential transition paths and outlooks for economic transformation. Location, level of development, EU tenure, Euro area membership and national borders account for part of the asymmetries. We present a two-region equilibrium model with sticky prices and endogenous growth through investment in R&D and human capital that reproduces the facts and explains some of the observed asymmetries. The policy implications for the newly created Recovery fund are discussed.

Registration

Registration is ongoing - details on the participation will be sent by email to registered participants.

Further information

This conference is co-organised by the Center for European Studies (CefES) of the University of Milano-Bicocca, Italy, and the JRC.

For more information, visit the webinar page or email cefes@unimib.it

Venue

Online, EU