EVALUATING THE EFFICIENCY OF LOCAL ECONOMIC DEVELOPMENT POLICIES

This paper studies the way public authorities can fundament and evaluate the local economic development policies they want to promote, according to their efficiency. After presenting the relevant literature overview regarding the local economic development and its policies, we try to underline the importance of evaluating and prioritizing the local development policies and also to propose an efficiency-based model that we later use in building and evaluating local development policies scenarios. The research methodology is both descriptive, while presenting the theoretical framework, and empirical, while building scenarios and evaluating local policies. The obtained results show us that the local policy we tested is efficient, enabling new investments to bring bigger financial benefits than the cost needed to attract them.