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The CAP and EU Enlargement: Prospects for an Alternative Strategy to Avoid the Lock-in of CAP Support

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  • Carsten Daugbjerg
  • Alan Swinbank

Abstract

The integration of the central and east European countries (CEECs) into the Common Agricultural Policy (CAP) could become a major problem. At the Copenhagen European summit in December 2002, the EU agreed a transitional period with a gradual phasing in of direct payments. However, this strategy will not solve the problems of the CAP: budgetary limits remain problematic, the policy ignores possible developments in the World Trade Organization (WTO), and the extension of direct payments to the CEECs will further capitalize, and hence lock-in, agricultural support. The latter makes future reform even more difficult and, to overcome these problems, we suggest an alternative strategy to integrate the CEECs into the CAP. The EU should phase out direct payments by applying a bond scheme. Finally, we consider whether this option is politically viable. Copyright Blackwell Publishing Ltd 2004.

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Bibliographic Info

Article provided by Wiley Blackwell in its journal Journal of Common Market Studies.

Volume (Year): 42 (2004)
Issue (Month): 1 (02)
Pages: 99-119

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Handle: RePEc:bla:jcmkts:v:42:y:2004:i:1:p:99-119

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Web page: http://www.blackwellpublishing.com/journal.asp?ref=0021-9886

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Cited by:
  1. Orden, David, 2005. "Can U.S. Farm Subsidies Be Bought Out?," 2005 Annual meeting, July 24-27, Providence, RI 19233, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Noronha Vaz, T. de & Nijkamp, P, 2009. "Multitasking in the Rural World: Technological Change and Sustainability," Serie Research Memoranda 0008, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  3. L√∫cia Urban & Teresa Noronha Vaz, 2011. "Segmented Markets, Cooperative Behaviours: Innovation in the Production of Brazilian Coffee," ERSA conference papers ersa10p883, European Regional Science Association.
  4. Thilo W. Glebe, 2006. "National welfare effects of trade bloc enlargement," Discussion Papers 022006, Technische Universität München, Environmental Economics and Agricultural Policy Group, revised 2008.
  5. Margherita Scoppola, 2005. "Agricultural Policies of the EU in the New Member States: Development or Re-Distribution?," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 1, March.
  6. Glebe, Thilo W., 2009. "Enlargement of the European Union: A movement towards the optimal trade bloc size?," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 10(2), June.
  7. Glebe, Thilo W. & Salhofer, Klaus, 2006. "Enlargement of Trade Blocs: National Welfare Effects If Trade Is Liberalized," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25529, International Association of Agricultural Economists.

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