The impact of single farm payments on technical inefficiency of French crop farms

Kassoum Ayouba, Jean-Philippe Boussemart and Stéphane Vigeant

Review of Agricultural, Food and Environmental Studies, vol. 98, issue 01/2

Abstract: This paper analyses the effect of single farm payments (SFPs) introduced by the Luxembourg agreements (2003) of the Common Agricultural Policy, on the performance of crop farms in Eure-et-Loir, France, over the period 2005–2008. Technical inefficiency scores of these crop farms are first estimated. Then, the estimated technical inefficiency scores are regressed on SFPs received by farmers following a standard two-step procedure. The analysis shows a negative effect of SFPs on the technical inefficiency of Eure-et-Loir farms. This implies that subsidies granted to farms without production restrictions seem to reduce technical inefficiency.

Keywords: Agricultural and Food Policy; Agricultural Finance (search for similar items in EconPapers)
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Related works:
Journal Article: The impact of single farm payments on technicalinefficiency of French crop farms (2017)
Journal Article: The impact of single farm payments on technical inefficiency of French crop farms (2017)
Working Paper: The impact of single farm payments on technical inefficiency of French crop farms (2017)
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Persistent link: https://EconPapers.repec.org/RePEc:ags:frrfes:277882

DOI: 10.22004/ag.econ.277882

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