In this paper, the relationship between the components of good governance and economic growth is investigated for EU member states by employing panel data estimation techniques over the periods 1996-2010. Findings indicate that different income level members such as low, middle and high show various structures than the whole union. Findings also prove that general tendency in EU27 shows parallelism with high-income members. These findings obviously reveal that developed members of EU are also dominant in determining this nexus as well as the great numbers of other political and economic areas.