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Title: | CAP Subsidies and Productivity of the EU Farms |
Authors: | RIZOV Marian; POKRIVCAK Jan; CIAIAN PAVEL |
Citation: | JOURNAL OF AGRICULTURAL ECONOMICS vol. 64 no. 3 p. 537–557 |
Publisher: | WILEY-BLACKWELL |
Publication Year: | 2013 |
JRC N°: | JRC85898 |
ISSN: | 0021-857X |
URI: | http://onlinelibrary.wiley.com/doi/10.1111/1477-9552.12030/abstract http://publications.jrc.ec.europa.eu/repository/handle/JRC85898 |
DOI: | 10.1111/1477-9552.12030 |
Type: | Articles in periodicals and books |
Abstract: | The paper 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. |
JRC Directorate: | Growth and Innovation |
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