Development of a Financial Framework for the National Plan for Regional Development: The Evidence from Serbia.

Authors

  • Darko Bozha Vukovic National Research University Higher School of Economics https://orcid.org/0000-0002-1165-489X
  • Dejan Radulovic University Business Academy in Novi Sad
  • Milos Markovic University of Paris 1 Pantheon-Sorbonne
  • Dmitry Mikhaylovich Kochetkov Ural Federal University; Institute of Economics of the Ural Branch of RAS https://orcid.org/0000-0001-7890-7532
  • Natalya Yuryevna Vlasova Ural State University of Economics

DOI:

https://doi.org/10.17059/2017-4-27

Keywords:

financial framework, government policy, intervention, budget, regional development, region, regional inequality, Serbia, transition economy, non-EU countries

Abstract

The aim of this paper is to examine the development of a financial framework for assessing the effectiveness of interventions. The research is based on the evidence from Serbia. In terms of methods applied, we used econometric and scenario analysis. We presented - as individual separate items - the issues such as “who” - Government budget (Ministry, specific program, loan, donor, etc.), “how much” - the amount spent, “where” (NUTS 2 region), and on “what” (type of initiative). In our model, each of the interventions applied to one of the regional development priorities is linked and evaluated by its effectiveness observing the performance of the group of indicators associated with each of the priorities. All data obtained from 8 sectors were categorized under 4 priorities, i.e. “People, Place, Productive Capacity, and Institutional Capacity”. Accordingly, we evaluate the effectiveness by observing the performance of a group of indicators related to each of the priorities. Our recommendations for optimizing the distribution structure of regional policies and regions are determined by the analysis of the performance of the group of indicators and their relative rankings per NUTS 2 region. The results are significant for further theoretical and applied research, as well as decision-making in the field of government financial policy. Our results confirmed that calculations of funds for regional development in strategic areas appear to be slightly problematic because, in the past, there was no strategic distribution based on established facts, which could be measured in terms of performance.

Author Biographies

Darko Bozha Vukovic, National Research University Higher School of Economics

Doctor of Economics, Professor, National Research University Higher School of Economics, Saint-Petersburg School of Economics and Management; Research Scientist, Geographical Institute «Jovan Cvijic» of Serbian Academy of Sciences and Arts; Scopus Author ID: 57031563800, https://orcid.org/0000-0002-1165-489X, Researcher ID = G-9374–2016 (331, 3A, Kantemirovskaya St., St. Petersburg, 194100, Russian Federation; 9, Djure Jaksica, Belgrade, 110000, Serbia; e-mail: vdarko@hotmail.rs).

Dejan Radulovic, University Business Academy in Novi Sad

PhD in Economics, Associate Professor, University Business Academy in Novi Sad, Faculty of Economics and Engineering Management (FIMEK) (2, Cvećarska, Novi Sad, 21000, Serbia; e-mail: radulovic@notard.rs).

Milos Markovic, University of Paris 1 Pantheon-Sorbonne

PhD in Economics, Associate Professor, University of Paris 1 Pantheon-Sorbonne, Centre d’Economie de la Sorbonne (CES) (106 — 112, Boulevard de l’Hôpital, Paris, 75013, France; e-mail: milos.markovic@malix.univ-paris1.fr).

Dmitry Mikhaylovich Kochetkov, Ural Federal University; Institute of Economics of the Ural Branch of RAS

Research Assistant, Institute of Economics of the Ural Branch of RAS; Senior Lecturer, Department of Marketing, Graduate School of Economics and Management, Ural Federal University; https://orcid.org/0000-0001-7890-7532, Researcher ID: I-4979–2015; (19, Mira St., Ekaterinburg, 620002, Russian Federation; e-mail: kochetkovdm@hotmail.com).

Natalya Yuryevna Vlasova, Ural State University of Economics

Doctor of Economics, Professor of the State and Municipal Governance, Ural State University of Economics (62, 8 Marta St, , Ekaterinburg, 620144, Russian Federation; e-mail: vnj@usue.ru).

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Published

27.11.2017

How to Cite

Vukovic, D. B., Radulovic, D., Markovic, M., Kochetkov, D. M., & Vlasova, N. Y. (2017). Development of a Financial Framework for the National Plan for Regional Development: The Evidence from Serbia . Economy of Regions, 13(4), 1314–1328. https://doi.org/10.17059/2017-4-27

Issue

Vol. 13 No. 4 (2017)

Section

Research articles

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Copyright (c) 2017 Darko Bozha Vukovic, Dejan Radulovic, Milos Markovic, Dmitry Mikhaylovich Kochetkov, Natalya Yuryevna Vlasova

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