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Evaluating Implications of Agricultural Policies in a Rural Region through a CGE Analysis

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  • Andrea BONFIGLIO

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    Abstract

    This paper aims to analyse economic and social effects produced by changes in agricultural policy on an Italian "significantly rural" region, the Marche region. To this aim, a regional CGE model based on a 2004 SAM, constructed for this purpose, has been applied. Two policy scenarios have been analysed: total removal of price support and full decoupling. Results suggest that price support has indeed sustained agricultural output but has limited growth potentialities of the region. Moreover, it turned out that decoupling partly removes obstacles to a higher allocative efficiency and favours an improvement in income distribution.

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    File URL: http://dea2.univpm.it/quaderni/pdf/328.pdf
    File Function: First version, 2008
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    Bibliographic Info

    Paper provided by Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali in its series Working Papers with number 328.

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    Length: 30
    Date of creation: Dec 2008
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    Handle: RePEc:anc:wpaper:328

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    Related research

    Keywords: Common Agricultural Policy; Social Accounting Matrix; policy impact; regional CGE model;

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