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Assessing the impact of future CAP reforms on the demand of production factors

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  • Bartolini, Fabio
  • Viaggi, Davide
  • Ronchi, Davide
  • Gomez y Paloma, Sergio
  • Sammeth, Frank

Abstract

The CAP reform process has been a central issue for agricultural economics research in recent years, and is gaining further attention in view of the post-2013 perspectives. The objective of this paper is to assess ex-ante the effect of different post-2013 CAP and market scenarios on the demand of productions factors. The paper is based on the use of farm household dynamic programming models maximising the net present value with a time horizon until 2030. A representative model has been implemented for 18 different farming systems in 8 EU countries. Changes in marginal values of selected resource constraints (land, labour and capital) are used to assess the potential effect of different scenarios on farm-household demand of production factors. Results highlight that both policy and market conditions change strongly the demand of productive factors.

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Bibliographic Info

Paper provided by European Association of Agricultural Economists in its series 122nd Seminar, February 17-18, 2011, Ancona, Italy with number 99593.

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Date of creation: 10 Feb 2011
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Handle: RePEc:ags:eaa122:99593

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Related research

Keywords: CAP reform; Investment behaviour; Farm Household model; Factor markets; Agricultural and Food Policy; Q12;

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Cited by:
  1. Viaggi, Davide & Bartolini, Fabio & Puddu, Marco & Raggi, Meri, 2013. "Farm/Household-level Simulation Results of Testing Policy and Other Scenarios," Factor Markets Working Papers 166, Centre for European Policy Studies.
  2. Puddu,Marco & Bartolini, Fabio & Viaggi,Davide, 2012. "Simulation of Land Use and Investment Behaviour under Different Policy Scenarios: Results of the extended farm/household model," Factor Markets Working Papers 132, Centre for European Policy Studies.

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