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Political Economy of Agricultural Policies and Environmental Weights

Cemal ATICI

ICER Working Papers from ICER - International Centre for Economic Research

Abstract: In this paper, a theoretical model was constructed to endogenously determine environmental weights in the agricultural sector. The conventional Political Preference Function was extended to include environmental weights. The model was applied to the wheat sector in the EU for the years 1990 and 2006. The results imply that designing protection levels that have small disparities between domestic and world prices and avoiding excess production cause a positive environmental surplus which leads to higher environmental weights.

Keywords: Environmental Weights; Political Preference Functions; EU; Agriculture (search for similar items in EconPapers)
JEL-codes: Q18 Q51 H23 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-env and nep-pol
Date: 2008-06
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Persistent link: http://EconPapers.repec.org/RePEc:icr:wpicer:25-2008

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