European Union Regional Policy Funding and the Challenges of the 21st Century

• Published in: E-finanse Vol. 2; no. 3
• Main Author: Czubocha, Krzysztof
• Format: Journal Article
• Language: English
• Published: Rzeszów University of Information Technology and Management 01.07.2006
• Subjects: Monetary unions; Policy making; Regional studies; Studies; Europe

The European Union regional policy is one of the most important European Union policies. 35% of the Union budget is allocated for regional policy. The aim of the policy is the reduction of disparities between the European Union regions. However, the results of the regional policy have been disappointing. In addition, the performance of the European Union economies has been mediocre. There are growing fears in the bosom of the European Union that it will not be able to meet the challenges of globalization. According to the Lisbon Agenda, the Union is to become the world's most dynamic and competitive economy by 2010. In order to achieve the goal, it is necessary to concentrate more on competitiveness, research and development, innovation, education and training. In other words, the European Union should finance the growth economy. As a result, the European Union decided to overhaul its regional policy funding. It does not signify that the traditional importance of the European Union regional policy is going to be questioned. It indicates that the funds available in the framework of the regional policy should be spent more effectively to increase competitiveness and contribute to the development of the growth economy. [PUBLICATION ABSTRACT]