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The Redistributive Effects of Agricultural Policy on Scottish Farm Incomes

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  • Paul Allanson

Abstract

This paper focuses on the measurement of the redistributive effects of agricultural policy, proposing measures to characterise and quantify these effects that are based on the change in absolute value of the Gini coefficient. An illustrative study shows that the distribution of support in Scotland in 1999/2000 was regressive with respect to pre-support farm incomes. Nevertheless, the provision of support would have had an equalising effect on farm incomes but for the resulting changes in the ranking of farms within the income distribution. Reranking not only makes 'coupled' support policies ineffective but also inefficient as redistributive instruments. Copyright 2006 Blackwell Publishing Ltd.

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  • Paul Allanson, 2006. "The Redistributive Effects of Agricultural Policy on Scottish Farm Incomes," Journal of Agricultural Economics, Wiley Blackwell, vol. 57(1), pages 117-128, March.
  • Handle: RePEc:bla:jageco:v:57:y:2006:i:1:p:117-128
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    Cited by:

    1. Severini, Simone & Tantari, Antonella, 2013. "The effect of the EU farm payments policy and its recent reform on farm income inequality," Journal of Policy Modeling, Elsevier, vol. 35(2), pages 212-227.
    2. Deppermann, Andre & Offermann, Frank & Grethe, Harald, 2016. "Redistributive effects of CAP liberalisation: From the sectoral level to the single farm," Journal of Policy Modeling, Elsevier, vol. 38(1), pages 26-43.
    3. O'Donoghue, Cathal & Grealis, Eoin & Farrell, Niall, 2015. "Modelling the Spatial Distributional Agricultural Incomes," 150th Seminar, October 22-23, 2015, Edinburgh, Scotland 212654, European Association of Agricultural Economists.
    4. Severini, Simone & Tantari, A., 2012. "How direct payments and their reform have affected farm income inequality in Italy?," Congress Papers 124099, Italian Association of Agricultural and Applied Economics (AIEAA).
    5. Paul Allanson, 2008. "On the Characterisation and Measurement of the Redistributive Effect of Agricultural Policy," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(1), pages 169-187, February.
    6. Ciliberti, Stefano & Frascarelli, Angelo, 2015. "The role of CAP in enhancing farm incomes: the redistributive effect of direct payments in Italy," 147th Seminar, October 7-8, 2015, Sofia, Bulgaria 212244, European Association of Agricultural Economists.
    7. Deppermann, Andre & Grethe, Harald & Offermann, Frank, 2011. "Distributional Effects of the CAP on Western German Farm Incomes and Regional Farm Income Disparity," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114442, European Association of Agricultural Economists.
    8. Laure Latruffe & Stefan Mann, 2009. "Another look at the distribution of direct payments: The link with part-time farming," Working Papers SMART - LERECO 09-02, INRA UMR SMART-LERECO.
    9. Franz Sinabell & Erwin Schmid & Markus Hofreither, 2013. "Exploring the distribution of direct payments of the Common Agricultural Policy," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 40(2), pages 325-341, May.
    10. O'Donoghue, Cathal & Grealis, Eoin & Loughrey, Jason & Donnellan, Trevor & Hanrahan, Kevin & Hennessy, Thia, 2015. "The Spatial Distributional Effect of Common Agricultural Policy Reform," 150th Seminar, October 22-23, 2015, Edinburgh, Scotland 212656, European Association of Agricultural Economists.
    11. A. Palestini & G. Pignataro, 2013. "A multi-factor inequality approach to a transfer scheme: the case of Common Agricultural Policy," Working Papers wp891, Dipartimento Scienze Economiche, Universita' di Bologna.
    12. Loughrey, Jason & Donnellan, Trevor & Lennon, John, 2016. "The Inequality of Farmland Size in Western Europe," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236341, Agricultural Economics Society.
    13. Paul Allanson & Benedetto Rocchi, 2008. "A comparative analysis of the redistributive effects of agricultural policy in Tuscany and Scotland," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 86(1), pages 35-56.
    14. Paul Allanson & Benedetto Rocchi, 2006. "An analysis of the redistributive effects of agricultural policy in Tuscany with comparative results for Scotland," Dundee Discussion Papers in Economics 193, Economic Studies, University of Dundee.
    15. Bergmann, Holger & Noack, Eva Maria & Thomson, Kenneth J., 2011. "The Distribution of CAP Payments - Redistributional Injustice or Spatially Adapted policy?," 85th Annual Conference, April 18-20, 2011, Warwick University, Coventry, UK 108958, Agricultural Economics Society.
    16. Berkeley Hill, 2008. "Some Economics of Public Statistics," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(3), pages 387-420, September.
    17. Elsholz, Rudiger & Harsche, Johannes, 2008. "Common Agricultural Policy Impacts on Farm Revenues," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44409, European Association of Agricultural Economists.
    18. von Witzke, Harald & Noleppa, Steffen, 2007. "Agricultural and Trade Policy Reform and Inequality: The Distributive Effects of Direct Payments to German Farmers under the EU's New Common Agricultural Policy," Working Paper Series 10289, Humboldt University Berlin, Department Agricultural Economics.

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