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Exploring the Distribution of Direct Payments of the Common Agricultural Policy

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Author Info
Franz Sinabell (WIFO)
Erwin Schmid
Markus F. Hofreither

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Abstract

Direct payments are the most important expenditure of the Common Agricultural Policy. They are mostly in the form of decoupled direct payments which are intended to be allocatively neutral. Increasing volumes of such transfers imply that distributive aspects of CAP expenditures become more important. This paper looks at this issue by calculating various measures of concentration based on statistics on recipients of direct payments covering the period of 2000 to 2006. The findings are evaluated in the context of the objectives of the CAP and the review of the financial framework, due to be discussed in late 2008.

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Publisher Info
Paper provided by WIFO in its series WIFO Working Papers with number 330.

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Length: 27 pages
Date of creation: 02 Sep 2008
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Handle: RePEc:wfo:wpaper:y:2008:i:330

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Related research
Keywords: common agricultural policy; distribution of transfers; single farm payments; direct payments;

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This paper has been announced in the following NEP Reports: 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.:
  1. Paul Allanson, 2006. "The Redistributive Effects of Agricultural Policy on Scottish Farm Incomes," Journal of Agricultural Economics, Blackwell Publishing, vol. 57(1), pages 117-128, 03. [Downloadable!] (restricted)
  2. Paul Allanson & Benedetto Rocchi, 2006. "An analysis of the redistributive effects of agricultural policy in Tuscany with comparative results for Scotland," Discussion Papers 193, University of Dundee, Economic Studies. [Downloadable!]
  3. Paul Allanson, 2007. "Classical Horizontal Inequities in the Provision of Agricultural Income Support," Review of Agricultural Economics, American Agricultural Economics Association, vol. 29(4), pages 656-671, December. [Downloadable!] (restricted)
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  4. Olson, Mancur, Jr, 1969. "The Principle of "Fiscal Equivalence": The Division of Responsibilities among Different Levels of Government," American Economic Review, American Economic Association, vol. 59(2), pages 479-87, May. [Downloadable!] (restricted)
  5. Mary Keeney, 2000. "The Distributional Impact of Direct Payments on Irish Farm Incomes," Journal of Agricultural Economics, Blackwell Publishing, vol. 51(2), pages 252-265. [Downloadable!] (restricted)
  6. Rasche, R H, et al, 1980. "Functional Forms for Estimating the Lorenz Curve: Comment," Econometrica, Econometric Society, vol. 48(4), pages 1061-62, May. [Downloadable!] (restricted)
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