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An Evaluation of the Common Agricultural Policy as a Barrier Facing Agricultural Exports to the European Economic Community

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  • Gary P. Sampson
  • Alexander J. Yeats

Abstract

The influence of the European Economic Community's Common Agriculture Policy on world agricultural prices and exports of producing nations is analyzed. CAP reduces demand for agricultural imports, imparting more inelasticity into the world demand for them. Increased inelasticity amplifies price fluctuations born by non-EEC producers. Results stress the need for incorporating the subject of agricultural protection into the agenda of the current multilateral trade negotiations. Since CAP can amplify fluctuations in world agricultural prices, the system has a direct detrimental effect on non-EEC producers. CAP's potential for trade restriction, under levies and other protectionist measures, is significant.

Suggested Citation

  • Gary P. Sampson & Alexander J. Yeats, 1977. "An Evaluation of the Common Agricultural Policy as a Barrier Facing Agricultural Exports to the European Economic Community," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(1), pages 99-106.
  • Handle: RePEc:oup:ajagec:v:59:y:1977:i:1:p:99-106.
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    File URL: http://hdl.handle.net/10.2307/1239613
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    Cited by:

    1. Paarlberg, Philip L. & Webb, Alan J. & Morey, Arthur & Sharples, Jerry A., 1984. "Impacts Of Policy On U.S. Agricultural Trade," Staff Reports 277627, United States Department of Agriculture, Economic Research Service.
    2. Rastegari, Shida, 1982. "Feed grains imports and pricing in the European Economic Community," ISU General Staff Papers 198201010800008476, Iowa State University, Department of Economics.
    3. Edward E. Leamer, 1988. "Measures of Openness," NBER Chapters, in: Trade Policy Issues and Empirical Analysis, pages 145-204, National Bureau of Economic Research, Inc.
    4. Webb, Alan J., 1984. "Protection In Agricultural Markets," Staff Reports 277605, United States Department of Agriculture, Economic Research Service.
    5. Frederick L. Pryor, 1981. "Static and Dynamic Effects of Different Types of Trade Barriers: A Synthesis Using a General Equilibrium Model," Eastern Economic Journal, Eastern Economic Association, vol. 7(2), pages 59-74, Apr-Jun.

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