Details

Franz Sinabell, Ulrich B. Morawetz
Investment Support under Rural Development Policy
Commissioned by: metis GmbH Vienna
Study by: Austrian Institute of Economic Research
This study analyses three questions in relation to the evaluation of investment support in Rural Development Programmes (RDP) of the Common Agricultural Policy (CAP). Different evaluation methods are classified according to their appropriateness and suitability to measure efficiency, effectiveness and impact of investment support measures. In order to evaluate the causality between policy interventions and outcomes a number of specific econometric methods or experiments are necessary. Theory-based assessments and qualitative participatory approaches cannot be used to derive quantitative results. In order to obtain such results, economic modelling approaches like input-output analyses or econometric methods must be used. A further element of the analysis is to estimate efficiency, effectiveness and impact of investment support measures in 11 programme areas of the EU. The quantitative results show a wide range of results that depend on structural aspects of the regions under consideration and programme-specific factors. With the data available, a causal statistical link between efficiency and targeting was not found. However, a case study demonstrated that targeting via eligibility criteria is more transparent than selection through ranking while aid intensity differentiation does not always have statistically significant effects on targeting. • With the following contributions by WIFO staff members: Jerzy Michalek, Ulrich B. Morawetz, Marili Parissaki, Demetris Papodopoulos, Andreas Resch, Angelos Sanopoulos, Franz Sinabell, Hannes Wimmer, Methodology and tools of the study – Ulrich B. Morawetz, Franz Sinabell, Answers to Evaluation Questions – Jerzy Michalek, Ulrich B. Morawetz, Marili Parissaki, Demetris Papodopoulos, Andreas Resch, Angelos Sanopoulos, Franz Sinabell, Hannes Wimmer, Herta Tödtling-Schönhofer, Conclusions and recommendations
Research group:Climate, Environmental and Resource Economics
Language:English

Related issues

Completed research studies
Commissioned by: metis GmbH Vienna
Study by: Austrian Institute of Economic Research
Closed: 2014
The Program of Rural Development is providing support in order to improve competitiveness of farms and small business in rural regions. Another objective of the program is to finance non-productive investments in order to improve the environmental quality. The research project measures the efficiency, the effectiveness and the impact of support granted to single beneficiaries or groups of beneficiaries. Case studies from 10 European regions, among them Austria, will be analysed with a range of different methods. A comparison between the results of the analyses will allow conclusions on how appropriate different methods are in measuring the efficiency of investment programs.