Does European Union and national regional policy correlate with a decrease in unemployment rate in Romania?

Diana Gorda

Bachelor's thesis

Abstract:

The bachelor thesis aims at answering the question if the regional and European Union Cohesion policy correlates with a decrease in unemployment rate in Romania. The thesis starts the analysis with a controversial theoretical background, including the convergence and divergence views and the related economic theories, as Solow and AK models. The study proceeds to a short description of the Cohesion Policy, its funds and targeted aims. The bachelor thesis then analyses the challenges of the Romanian labor market, the reasons that bring to a non-competitive labor environment, and further on focuses on the vulnerable groups of population most affected by unemployment. At the same time, at this section the paper provides a final distinction between two time horizons: before joining and after joining the European Union. The last part of the research is composed of an empirical work concerning Cohesion policy funding and the effectiveness on a macroeconomic indicator, as unemployment. The correlation between unemployment rate and Cohesion Policy is found to be negative, as expected from the theoretical background.

Abstract:

The bachelor thesis aims at answering the question if the regional and European Union Cohesion policy correlates with a decrease in unemployment rate in Romania. The thesis starts the analysis with a controversial theoretical background, including the convergence and divergence views and the related economic theories, as Solow and AK models. The study proceeds to a short description of the Cohesion Policy, its funds and targeted aims. The bachelor thesis then analyses the challenges of the Romanian labor market, the reasons that bring to a non-competitive labor environment, and further on focuses on the vulnerable groups of population most affected by unemployment. At the same time, at this section the paper provides a final distinction between two time horizons: before joining and after joining the European Union. The last part of the research is composed of an empirical work concerning Cohesion policy funding and the effectiveness on a macroeconomic indicator, as unemployment. The correlation between unemployment rate and Cohesion Policy is found to be negative, as expected from the theoretical background.

Keywords

Unemployment, Cohesion Policy, European Union, Romania

Keywords

Romania, Cohesion Policy, European Union, Unemployment

Language used: English

Date on which the thesis was submitted / produced: 2. 3. 2015

Thesis defence

• Date of defence: 10. 9. 2015
• Supervisor: Michaela Ševčíková
• Reader: Jaromír Prokop

Vysoká škola ekonomická v Praze

Bachelor programme / field:
Ekonomie a hospodářská správa / Economics