| Abstract [eng] |
This research paper „The limits of EU structural funds' investment benefits in Lithuania: the problems of effective support programming“ is aimed to tackle the main problems of EU structural funds‘ (SF) support programming effectiveness in Lithuania. This specific research objective was selected in the presence of multiple recently detected problems that are precluding the effective use of the EU SF support in the 2004-2006 programming period and cast serious doubt, whether this historic external financial support will have satisfactory effects on Lithuania’s long term economic development. The main tested hypothesis of this study states that the above mentioned underperformance of the use of EU SF in the period of 2004-2006 and related decrease in the positive effects on the Lithuania‘s long term economic development was influenced by the effectiveness problems in the support programming process. This question was never systematically explored in the existing EU SF performance effectiveness debate. So far issued studies researching this kind of problem concentrate mainly on the implementation process either leaving the programming process aside, either making some sporadic remarks on this topic. The main objective of this research paper was to make a comprehensive and consistent research of the EU SF programming process in Lithuania, seeking to identify and explain its main effectiveness problems. Seeking to achieve the main research objective the three secondary hypotheses are raised. According to them the use of EU SF support was ineffective and the effects on the long term economic development were limited because of: • the superficial assessment of the development needs, caused by the formal use of the partnership principle, based on the minimal requirements of the EU regulations and failing to secure a wide-ranging and effective involvement of the partners into the decision making process; • the flawy selection of the investment areas and the assignment of the resources, based on the rent-seeking interests of the decision makers to assume the influence on the distribution of major support flow, instead of concentrating resources on the most important development needs defined by the common interest; • the perverse purpose of the decision makers to program the EU SF support, seeking maximum absorption and short term political interests rather than investing into the long term development of state’s economy. The theoretical background of the research is constructed by contrasting two opposing decision making models. The fist is rational-economic or classical decision making model representing an ideal state, and the second is the political decision making model which is often found in the real world. By comparing these two models it is stated that the case of Lithuanian programming process can be better explained by the insights of the political model. The empirical part of the research based on the analysis of the EU SF programming of the periods 2004-2006 and 2007-2013 provides convincing evidence proving all three secondary hypotheses and the main hypothesis, that the underperformance of the EU SF use and the related decrease in the positive effects on the Lithuania‘s long term economic development, were partly influenced by the problems of the programming effectiveness. The basic value added of this research paper is the novelty of its basic focus. It is the first systematic and thorough attempt to aggregate all existing evidence and to explain the underperformance of EU SF support to Lithuania connecting it with the effectiveness problems of programming process. The theoretical importance of the research is also evident, as it proves that the best suited model for the analysis of the programming process effectiveness in Lithuania is the political decision making model. |
