Effectiveness of Farm Policies on Social and Economic Development in Rural Areas

Chris J Doyle, Morag Mitchell and Kairsty Topp

European Review of Agricultural Economics, 1997, vol. 24, issue 3-4, 530-46

Abstract: A methodology for estimating the impact of agricultural support payments on both farm output and the wider economy at regional level is outlined and applied to one Scottish region. Using a Johansen-type model of the agriculture sector, the impact of support changes on agricultural output is forecast. A regional input-output matrix is derived and used to calculate income and employment multipliers for the main agricultural enterprises. Using these multipliers, forecasts of regional income and employment losses due to a partial reduction in agricultural support are made. Within the region, the spatial distribution of benefits is projected using a Gravity Model and mapped using a Geographic Information System. Copyright 1997 by Oxford University Press.

Date: 1997
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European Review of Agricultural Economics is currently edited by Timothy Richards, Salvatore Di Falco, Céline Nauges and Vincenzina Caputo

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