The impact of agricultural policy on farm income concentration: the case of regional implementation of the CAP direct payments in Italy

2013 ◽  
Vol 44 (3) ◽  
pp. 275-286 ◽  
Author(s):  
Simone Severini ◽  
Antonella Tantari
Keyword(s):  
Agricultural Policy ◽  
Farm Income ◽  
Direct Payments ◽  
On Farm ◽  
The Impact ◽  
Income Concentration

scholarly journals CAP post 2022 scenarios and income impacts – a case analysis for selected typical farms in Slovenia

2021 ◽  
Vol 117 (2) ◽  
pp. 1
Author(s):  
Jaka ŽGAJNAR ◽  
Luka JUVANČIČ ◽  
Stane KAVČIČ ◽  
Emil ERJAVEC
Keyword(s):  
Agricultural Policy ◽  
Farm Income ◽  
Farm Level ◽  
Farm Model ◽  
Financial Framework ◽  
Direct Payments ◽  
Representative Farms ◽  
The Impact ◽  
High Share ◽  
Farm Types

Assessment based on representative farms is an established approach in the modern assessment of the effects of changes in agricultural policy. In line with previous CAP reforms, we can expect income redistribution impacts also with the implementation of the legislative and financial framework of the CAP for the next period. This paper discusses a scenario analysis using the farm model. The model is based on linear programming, which enables to address various technological challenges at farm level. We formed the scenarios for the analysis following the example of the scenarios contained in the impact assessment that the European Commission prepared for the CAP after 2020. The analysis involves selected farm types from selected sectors. The results suggest that the expected reduction in the envelope will generally lead to lower farm-level revenues from CAP direct payments. Consequently, economic performance will deteriorate, what is likely to be amplified in some sectors by the abolition of historical payments. The range of consequences at farm level will likely be considerable, especially for sectors and production types with a high share of CAP payments in the structure of total farm income. In certain sectors, however, there is even an improvement regarding the current situation.

scholarly journals Wpływ subsydiów wspólnej polityki rolnej na dochody gospodarstw mlecznych FADN w krajach Unii Europejskiej w latach 2004-2013

2017 ◽  
Vol 17(32) (1) ◽  
pp. 53-62
Author(s):  
Marta Guth ◽  
Katarzyna Smędzik-Ambroży
Keyword(s):  
Agricultural Policy ◽  
Dairy Farm ◽  
Dairy Farms ◽  
Farm Income ◽  
Family Farm ◽  
Panel Regression ◽  
Decoupled Payments ◽  
The Common ◽  
On Farm ◽  
The Impact

The main aim of the article was to assess the impact of the Common Agricultural Policy subsidies on the income of FADN dairy farms in 2004-2013. The share of total subsidies, including subsidies on investments on farm income per unit of work (FWU) on FADN dairy farms in EU countries, with the division to EU-12 and EU-15, was examined. The trend of family farm income with and without subsidies during the period under review was presented. In order to demonstrate which of the groups of subsidies had the greatest impact on family farm income, a panel regression was conducted. It turned out that the most significant for the FADN dairy farm income in 2005-2013 was decoupled payments and additional aid with other support.

scholarly journals Farm household income inequality in Slovenia

2020 ◽  
Vol 17 (4) ◽  
pp. e0112 ◽  
Author(s):  
Štefan Bojnec ◽  
Imre Fertő
Keyword(s):  
Income Inequality ◽  
Agricultural Policy ◽  
Common Agricultural Policy ◽  
Household Income ◽  
Farm Income ◽  
Farm Household ◽  
Data Set ◽  
Market Income ◽  
On Farm ◽  
The Impact

Aim of study: To investigate the structure and evolution of farm household income and examine the contribution of different sources of farm household income, particularly the impact of Common Agricultural Policy reform on farm household income inequality in Slovenia.Area of study: Slovenia, one of the European Union member states.Material and methods: A panel data set was compiled using Slovenian Farm Accountancy Data Network data at farm level for the period 2007-2013. Total farm household income was disaggregated into two different components: 1) income components, which can contain market income and off-farm income, and 2) subsidy components, which can contain subsidies from Pillars 1 and 2. Pillar 2 support included subsidies related to agri-environmental measures, less favoured areas and other rural development measures. The income distribution and decomposition were examined using the Gini decomposition method to determine the contribution of each income source and the policy shift from market to government support on farm household income and overall inequality.Main results: A shift in Common Agricultural Policy and related measures determined the structure and evolution of farm household incomes. Off-farm income had a lesser and rather stable impact on farm household income inequality, while the major change involved an increase in the importance of subsidies from Pillar 2 which is consistent with a policy of targeting farms in less favoured areas. Subsidies from Pillar 1 reduced, while market income increased farm household income inequality.Research highlights: Subsidies in farm incomes increased. They could reduce farm household income inequality.

Die europäische Agrarpolitik vor dem Hintergrund der Osterweiterung

2003 ◽  
Vol 52 (1) ◽  
Author(s):  
Reimar von Alvensleben ◽  
Bernhard Brümmer ◽  
Ulrich Koester ◽  
Klaus Frohberg
Keyword(s):  
Agricultural Policy ◽  
Consumer Welfare ◽  
World Market ◽  
Market Mechanism ◽  
Niche Markets ◽  
Member States ◽  
Regional Food ◽  
Direct Payments ◽  
The Impact ◽  
The Eu

AbstractReimar von Alvensleben asks in his article whether the “Agrarwende” in Germany could be a model for Europe. He argues that the new agricultural policy (the so-called “Agrarwende”), which has been proclaimed and implemented after the German BSE crisis 2000/2001, adds new problems to the already existing problems of the Common Agricultural Policy (CAP). The strategy of improving international competitiveness of German agriculture by promoting the niche markets for organic food, animal-friendly produced food and regional food is unrealistic and thus neglecting the problem of improving the competitiveness of 85−90% of German agriculture. The criterion of ecological efficiency (How to achieve ecological goals at lowest costs?) is totally neglected in agricultural environmental policy. The strategy of implementing environmental and animal welfare standards by the market mechanism will not lead to reasonable results because of perception distortions of the consumers. As a consequence of distorted perception of food risks by politicians, cost of risk prevention are too high and/or safety and health standards in other less spectaculous areas are too low. For these reasons he concludes that the “Agrarwende” in Germany cannot be regarded as a model for Europe, especially not for Eastern Europe.Bernhard Brümmer and Ulrich Koester write in their paper that the Eastern Enlargement of the EU will have significant implications for governance of the CAP. The evolution of the CAP has led to a permanent increase in the intensity of regulation, although the rate of external protection has declined. Past experience - mainly revealed by the European Court of Auditors - has evidenced many irregularities and even fraud as a by-product of the CAP. Governance problems are due to badly designed policies, which demand control of even individual farms and give the member countries, administrative regions (which are supposed to implement the policies on the local scale) and the individual farms themselves incentives to breach the rules. In their view governance problems will certainly increase in the enlarged EU. The new member countries have a weaker administrative capacity and are subject to more corruption than the present EU countries. Adequate policy reaction should lead to fundamental changes of the CAP.Klaus Frohberg argues that in its Mid Term Review the EU-commission proposes a change in the most important instruments of the CAP. Direct payments and intervention prices belong to this group. In his paper the impact of these changes is discussed. Direct payments shall become decoupled from production and be summarised into a single payment to farmers. In addition, the right of these transfers shall be made tradable independent of a simultaneous exchange of land. With regard to the intervention prices they shall be reduced as to approach world market levels. Assuming that the Member States will confirm the proposals the CAP is expected to improve considerably. Allocation and transfer efficiency will increase, consumer welfare will go slightly up, taxpayers will be little if at all affected and the EU can defend its position in the negotiations of the ongoing WTO round. These advantages accrue to the current as well as to the new Member States. In spite of the improvements the CAP still needs to be enhanced in some areas such as the market organisation of sugar and milk.

A meta-analysis of the capitalisation of CAP direct payments into land prices

2021 ◽  
Author(s):  
Alessandro Varacca ◽  
Giovanni Guastella ◽  
Stefano Pareglio ◽  
Paolo Sckokai
Keyword(s):  
Agricultural Policy ◽  
Meta Analysis ◽  
Extensive Review ◽  
The European Union ◽  
Decoupled Payments ◽  
Land Prices ◽  
Implementation Scheme ◽  
Direct Payments ◽  
Meta Regression ◽  
The Impact

Abstract The impact of the European Union common agricultural policy direct payments on land prices has received substantial attention in recent years, leading to heterogeneous evidence of capitalisation for both coupled and decoupled payments. In this paper, we provide an extensive review of the empirical works addressing this issue econometrically and compare their results through a Bayesian meta-regression model, focussing on the impact of decoupling and its implementation schemes. We find that the introduction of decoupled payments increased the capitalisation rate, although the extent of this increment hinges on the implementation scheme adopted by the member state.

scholarly journals Farmers’ Participation in Agritourism: Does It Affect the Bottom Line?

2013 ◽  
Vol 42 (3) ◽  
pp. 471-490 ◽  
Author(s):  
Hyunjeong Joo ◽  
Aditya R. Khanal ◽  
Ashok K. Mishra
Keyword(s):  
Well Being ◽  
Farm Income ◽  
Small Scale ◽  
Bottom Line ◽  
Alternative Source ◽  
Large Farm ◽  
Household Incomes ◽  
On Farm ◽  
The Impact ◽  
Economic Well Being

Agritourism is an alternative source of farm income. We examine farmers’ participation in agritourism activities to assess the impact of participation on farm household income and return to assets using a large farm-level survey. The results reveal that older, educated, and female operators are more likely to participate in agritourism. However, government subsidies and the population of the county are negatively correlated with agritourism. Of the types of farm operations examined, small-scale farms that involved agritourism generated the greatest household incomes and returns to assets. For operators of small farms, agritourism can boost the economic well-being of farm households.

A Behavioural Explanation of Smallholder Entrepreneurship with Empirical Evidence from KwaZulu-Natal, South Africa

2021 ◽  
Author(s):  
Fortunate Nosisa Zaca ◽  
Edilegnaw Wale ◽  
Unity Chipfupa
Keyword(s):  
Psychological Capital ◽  
Positive Impact ◽  
Smallholder Farmers ◽  
Farm Income ◽  
Tobit Regression ◽  
Entrepreneurial Spirit ◽  
Kwazulu Natal ◽  
Social Grant ◽  
On Farm ◽  
The Impact

Abstract This study aimed to investigate the impact of social grant dependence on on-farm entrepreneurial spirit of smallholders. A sample of 175 farmers was obtained from two communities in KwaZulu-Natal. The study employed Principal Components Analysis and Tobit regression. The entrepreneurial spirit indices were constructed from revealed preference-based questions. The study found a positive relationship between the social grant and on-farm entrepreneurial spirit. The positive impact on rural household farming activities implies that the prevailing low entrepreneurial levels among farmers are not the result of social grant dependence but lack of opportunity and other resource constraints. However, to remain effective, policy should ensure that the grant money benefits (directly/indirectly) the intended beneficiary and their households. The other factors found to be associated with on-farm entrepreneurship include age of the farmer, gender, psychological capital, access to training, access to education, access to land, inadequate farming assets, water insecurity, extension, off-farm income and group membership. The study also recommends the need for strategies that improve psychological capital and thus enhance positive on-farm entrepreneurial behaviour among smallholder farmers. Addressing institutional and farming constraints related to access to resources and services (land, credit, extension, and water) and collective action will positively contribute to on-farm entrepreneurship.

The impact of cooperatives’ transportation services on farm income: Evidence from tobacco farmers in Guizhou, China

Agribusiness ◽  
2019 ◽  
Vol 36 (1) ◽  
pp. 146-158
Author(s):  
Junying Lin ◽  
Zhonggen Zhang ◽  
Ziming Liu ◽  
Jens Rommel
Keyword(s):  
Farm Income ◽  
Transportation Services ◽  
On Farm ◽  
The Impact
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