Inequalities in Development in the European Union at the time of COVID-19 Pandemic

Abstract

Balanced development is perceived as one of crucial objectives of the European Union integration. It is included in the treaties and promoted by the policies of the EU. Development inequalities among the EU economies result from a number of reasons. The COVID-19 pandemic did strengthen the problem of development inequalities in the EU. The main aim of the research is to diagnose and evaluate the impact of the COVID-19 pandemic on development disparities in the EU27. Multivariate comparative analysis was conducted with the application of Hellwig index of TMD (Taxonomic Measure of Development) and the standard deviations method of grouping of linearly ordered objects. The following eleven diagnostic variables were taken into consideration: X1 – GDP growth, X2 – GDP per capita PPP, X3 – share of service sector in value added, X4 - general government sector balance (deficit/surplus), X5 – general government sector debt, X6 – employment rate, X7 – unemployment rate, X8 – natural growth rate, X9 – infant mortality rate, X10 – population aged 30-34 with tertiary education, X11 - gross expenditure on research and development as % GDP. The research was conducted for the years: 2019 and 2021. The conducted research and analysis indicated the existence of considerable inequalities among the EU economies.

Keywords

• development
• inequalities
• european union
• covid-19 pandemic