The impact of CAP reform on the productivity of EU farms

Book chapter

Rizov, M., Pokrivcak, J. and Ciaian, P. 2013. The impact of CAP reform on the productivity of EU farms. in: Swinnen, J. and Knops, L. (ed.) Land, labour and capital markets in European agriculture: diversity under a common policy Brussels Centre for European Policy Studies (CEPS). pp. 334-346
Chapter titleThe impact of CAP reform on the productivity of EU farms
AuthorsRizov, M., Pokrivcak, J. and Ciaian, P.
Abstract

The chapter investigates the impact of the Common Agricultural Policy (CAP) subsidies on farm total factor productivity (TFP) in the European Union (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 the Farm Accountancy Data Network (FADN) samples for the EU-15 countries. Our main findings are clear: subsidies impact negatively on farm productivity in the period before the decoupling reform was implemented; after decoupling the effect of subsidies on productivity is more nuanced and in several countries it turned positive.

Page range334-346
Book titleLand, labour and capital markets in European agriculture: diversity under a common policy
EditorsSwinnen, J. and Knops, L.
PublisherCentre for European Policy Studies (CEPS)
Place of publicationBrussels
SeriesFood Security and Development Policy, CEPS Paperbacks
ISBN
Hardcover9789461383518
Publication dates
Print28 Oct 2013
Publication process dates
Deposited21 Nov 2014
Output statusPublished
Copyright Statement

Access restricted pending copyright check.

Web address (URL)http://www.ceps.eu/book/land-labour-and-capital-markets-european-agriculture-diversity-under-common-policy
LanguageEnglish
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