An Index of Social and Economic Development in the Community's Objective-1 Regions of Countries in Southern Europe

Abstract

In this article we calculate an indicator of social and economic development using the DP2 distance method to measure the disparities in Objective-1 regions of southern European countries for 2006. In addition to per capita income, socio-economic components such as health, education, employment, scientific and technological development and infrastructure provision have been incorporated into the index. We examine the issue of whether the Europe Union regions included in the Convergence Objective achieved a lower level of development than the regions no longer covered in this objective for the 2007–2013 programming period by establishing a territorial classification based on the value yielded by the variables of the DP2. Our indicator constitutes a novel contribution insofar as it was constructed using a large number of variables. In essence, we show that not all the regions of the Convergence Objective presented a lower level of economic and social development than those that lost this consideration between 2007 and 2013 and the opposite.