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Socio-Economic and Environmental Impact of AGENDA 2000 and Alternative Policy Choices for Market Liberalization on an Irrigated Area in Northwestern Spain

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  • Gomez-Limon, Jose Antonio
  • Arriaza Balmón, Manuel

Abstract

This paper presents a methodology to evaluate the impact of different policy scenarios using a farmer's utility function. The analysis shows the impact on farmers and on the environment. The case study is a community of irrigated farms (Bajo Carrión) in Northwestern Spain. The results obtained show how Agenda 2000 has little impact on farm crop distribution, gross margins, employment and environment (use of fertilizers and water). The most radical scenario (a 15 per cent COP price cut and no area payments) produces a 37.3 per cent reduction in farm gross margin, and an increase in fertilizer use of 6 per cent.

Suggested Citation

  • Gomez-Limon, Jose Antonio & Arriaza Balmón, Manuel, 2000. "Socio-Economic and Environmental Impact of AGENDA 2000 and Alternative Policy Choices for Market Liberalization on an Irrigated Area in Northwestern Spain," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 1(2), pages 1-14, August.
    • Handle: RePEc:ags:aergaa:26458
    DOI: 10.22004/ag.econ.26458
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    References listed on IDEAS

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    Cited by:

    1. Basil Manos & Thomas Bournaris & Mohd Kamruzzaman & Moss Begum & Ara Anjuman & Jason Papathanasiou, 2006. "Regional Impact of Irrigation Water Pricing in Greece under Alternative Scenarios of European Policy: A Multicriteria Analysis," Regional Studies, Taylor & Francis Journals, vol. 40(9), pages 1055-1068.
    2. Manos, Basil & Begum, Moss. Anjuman Ara & Kamruzzaman, Mohd. & Nakou, Ioanna & Papathanasiou, Jason, 2007. "Fertilizer price policy, the environment and farms behavior," Journal of Policy Modeling, Elsevier, vol. 29(1), pages 87-97.
    3. Riesgo, Laura & Gomez-Limon, Jose A., 2006. "Multi-criteria policy scenario analysis for public regulation of irrigated agriculture," Agricultural Systems, Elsevier, vol. 91(1-2), pages 1-28, November.
    4. Bartolini, F. & Bazzani, G.M. & Gallerani, V. & Raggi, M. & Viaggi, D., 2007. "The impact of water and agriculture policy scenarios on irrigated farming systems in Italy: An analysis based on farm level multi-attribute linear programming models," Agricultural Systems, Elsevier, vol. 93(1-3), pages 90-114, March.
    5. Garci­a-Vila, M. & Lorite, I.J. & Soriano, M.A. & Fereres, E., 2008. "Management trends and responses to water scarcity in an irrigation scheme of Southern Spain," Agricultural Water Management, Elsevier, vol. 95(4), pages 458-468, April.
    6. Bazzani, Guido Maria & di Pasquale, S. & Gallerani, Vittorio & Morganti, S. & Raggi, Meri & Viaggi, Davide, 2004. "The impact of the EU Water Framework Directive on irrigated agriculture in Italy: the case of the North-East fruit district," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 5(1), pages 1-9, January.

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