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Crop-diversity and Cereal Production under the CAP Reform: Evidence from Italy

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  • Elisa Gatto
  • Guido Signorino

Abstract

The paper offers empirical evidence on the relationship between inter-species diversity and production within a panel of agricultural firms operating in the cereal sector over the period 2004-2007. A Cobb-Douglas agricultural production function is estimated using different panel estimation methods which make it possible to control for the dynamic structure of agricultural production and for regressors’ endogeneity. We find evidence of a significant relationship between biodiversity and production, confirming the stability-diversity hypothesis. Additionally, the analysis supports the effectiveness of the new CAP intervention measures in sustaining farmers’ revenues.

Suggested Citation

  • Elisa Gatto & Guido Signorino, 2014. "Crop-diversity and Cereal Production under the CAP Reform: Evidence from Italy," SCIENZE REGIONALI, FrancoAngeli Editore, vol. 2014(3), pages 35-50.
  • Handle: RePEc:fan:scresc:v:html10.3280/scre2014-003002
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    References listed on IDEAS

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    More about this item

    Keywords

    Biodiversità; PAC; panel dinamici. Classificazione;

    JEL classification:

    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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