Advanced Search
MyIDEAS: Login

The Economic and Historical Foundation of the Common Agricultural Policy in Europe

Contents:

Author Info

  • Zobbe, Henrik
Registered author(s):

    Abstract

    The Common Agricultural Policy (CAP) was founded in the 1950s with price support as the main policy instrument. Despite massive criticism from both within and outside the EU, price support remains the backbone of the CAP. This paper argues that the choice of price support was logical viewed in both historical and economical perspectives, and gives three reasons for this. First, even though talks on agricultural integration began immediately after the war, the CAP was a result of general economic integration in Europe rather than the reason for it. Second, the structure of the CAP was determined by the agricultural policies of the six founding countries. The third and last reason is related to the economic characteristics of running a price support system. The six countries together were net importers of agricultural products and could thereby benefit from import levies. Price support is paid for by the consumers, and European consumers had been paying high prices for food for a long time. This, together with a high level of economic growth in Europe in the 1960s, made it easier for the governments to choose this policy rather than a policy based on direct payments financed by taxpayers that would have put pressure on the national fiscal budgets of the six countries.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://purl.umn.edu/24867
    Download Restriction: no

    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 2002 International Congress, August 28-31, 2002, Zaragoza, Spain with number 24867.

    as in new window
    Length:
    Date of creation: 2002
    Date of revision:
    Handle: RePEc:ags:eaae02:24867

    Contact details of provider:
    Email:
    Web page: http://www.eaae.org
    More information through EDIRC

    Related research

    Keywords: Agricultural Policy; European Economic History; Agricultural History; Agricultural and Food Policy; Q18; N44; N34;

    Find related papers by JEL classification:

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. O'Rourke, Kevin H., 1997. "The European Grain Invasion, 1870–1913," The Journal of Economic History, Cambridge University Press, vol. 57(04), pages 775-801, December.
    2. ROSEMARY FENNELLy, 1985. "A Reconsideration of the Objectives of the Common Agricultural Policy," Journal of Common Market Studies, Wiley Blackwell, vol. 23(3), pages 257-276, 03.
    3. Gardner, Bruce L, 1992. "Changing Economic Perspectives on the Farm Problem," Journal of Economic Literature, American Economic Association, vol. 30(1), pages 62-101, March.
    4. Fennell, Rosemary, 1997. "The Common Agricultural Policy: Continuity and Change," OUP Catalogue, Oxford University Press, number 9780198288572.
    5. Tracy, Michael, 1994. "The Spirit of Stresa," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 21(3-4), pages 357-74.
    Full references (including those not matched with items on IDEAS)

    Citations

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:ags:eaae02:24867. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.