1. On the other hand, the objective 1 regions comprise other regions as the new German laender, Ireland, Northern Ireland, etc. I will use the term 'cohesion countries and the Mezzogiorno' to address the countries and regions of the EU periphery, keeping in mind that they are subject of objective 1 regional policies. The term cohesion country was introduced by the Maastricht Treaty for member states with a per capita;The cohesion countries and the Mezzogiorno are also referred to as objective 1 areas, i.e. regions with a GDP p.c
2. the European Social Fund (ESF), and the guidance section of the European Agricultural Guarantee and Guidance Fund (EAGGF);The structural funds consist of the European Regional Development Fund (ERDF)
3. On the Tasks of the Structural Funds;EC regulation 2052/88,1988
4. Given a central monetary policy in EMU and the loss of an individual exchange rate instrument, the adjustment process with asymmetric shocks could be rather burdensome, particularly for a country in the periphery.This is mainly because labour mobility and wage flexibility are not sufficient, and the room for individual fiscal policy is limited. However, when a country has reached a higher economic development;Several studies pointed out that due to the difference of economic structures and labour market features between the rich European economies and the cohesion countries, asymmetric shocks would occur