EU regional development policy and territorial capital: A systemic approach

The territorial capital of regions is an important determinant ofgrowth, but also of the impact of EU Cohesion Policy. First, becauseit can act as a filter, enhancing the impact of regional policies.Second, the latter can help building territorial capital which, in turn,will foster regional development. This work analyses the mediumand long‐run relationship between the territorial capital of EU NUTS3 regions and Cohesion Policy using data from the programmingperiod 2000–2006. Results point out complementarities between dif-ferent territorial assets of regions and the impact of EU regional policy:Cohesion Policy effectiveness is higher when investments are focusedon the assets complementary to those already abundant in the region.