Common Agricultural Policy Impacts on Farm Revenues

Rudiger Elsholz and Johannes Harsche

No 44409, 2008 International Congress, August 26-29, 2008, Ghent, Belgium from European Association of Agricultural Economists

Abstract: The aim of this paper is twofold. Firstly, we investigate the regional distribution of support of EU’s Common Agricultural Policy (CAP). Also, we employ structural data of the regions to calculate average farm revenues and to show how support and revenues have developed over time. We analyse the stabilisation effect generated by these transfers. This is investigated for the market price support, the first pillar payments and one agri-environmental program. Secondly, several parameters affecting level of support, development of support and instability of support are analysed, such as natural conditions for farming and regional economic structure. New contributions to the literature are the use of community data and the inclusion of a second-pillar program. The results show that there is an overall stabilisation effect of the EU’s CAP but this effect is not equal for all regions. Furthermore, our findings indicate that favourable natural conditions increase the level of support per farm.

Keywords: Agricultural and Food Policy; Agricultural Finance (search for similar items in EconPapers)
Pages: 10
Date: 2008
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:eaae08:44409

DOI: 10.22004/ag.econ.44409

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