CAP Subsidies and the Productivity of EU Farms
Marian Rizov (),
Jan Pokrivcak () and
No 148, Factor Markets Working Papers from Centre for European Policy Studies
This paper investigates the impact of subsidies from the common agricultural policy on the total factor productivity of farms in the EU. We employ a structural, semi-parametric estimation algorithm, directly incorporating the effect of subsidies into a model of unobserved productivity. We empirically study the effects using samples from the Farm Accountancy Data Network for EU-15 countries. Our main findings are clear: subsidies had a negative impact on farm productivity in the period before the decoupling reform was implemented; after decoupling the effect of subsidies on productivity was more nuanced, as in several countries it turned positive.
Pages: 28 pages
New Economics Papers: this item is included in nep-agr, nep-eff and nep-eur
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Journal Article: CAP Subsidies and Productivity of the EU Farms (2013)
Working Paper: CAP Subsidies and the Productivity of EU Farms (2013)
Working Paper: CAP Subsidies and Productivity of EU Farms (2013)
Working Paper: CAP subsidies and productivity of the EU farms (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:eps:fmwppr:148
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