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The European agricultural trade policies and poverty


  • L. Alan Winters


This paper tries to estimate the effects of reforming European agricultural trade policy on poverty in Europe and in the developing world. After setting out a conceptual framework linking trade and poverty, it describes a detailed computable general equilibrium modelling exercise showing the effects on poverty of a possible agreement in the Doha Round of the World Trade Organization. It then conducts a global simulation on European agricultural liberalisation and by comparing it with the Doha simulations infers the poverty effects in the developing world. These are benign but not very large. This does not change the case for reform, however; the Common Agricultural Policy harms trade relations with developing countries and causes poverty in Europe. Copyright 2005, Oxford University Press.

Suggested Citation

  • L. Alan Winters, 2005. "The European agricultural trade policies and poverty," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 32(3), pages 319-346, September.
  • Handle: RePEc:oup:erevae:v:32:y:2005:i:3:p:319-346

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    References listed on IDEAS

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    Cited by:

    1. Nadia Belhaj Hassine & Veronique Robichaud & Bernard Decaluwé, 2010. "Agricultural Trade Liberalization, Productivity Gain and Poverty Alleviation: A General Equilibrium Analysis," Working Papers 519, Economic Research Forum, revised 05 Jan 2010.
    2. Meade, Birgit & Muhammad, Andrew, 0. "New International Evidence on Food Consumption Patterns: A Focus on Cross-Price Effects Based on 2005 International Comparison Program Data," Amber Waves, United States Department of Agriculture, Economic Research Service, issue 03, April.
    3. Regmi, Anita & Seale, James L., Jr., 2010. "Cross-Price Elasticities of Demand Across 114 Countries," Technical Bulletins 59870, United States Department of Agriculture, Economic Research Service.
    4. Kym Anderson & Ernesto Valenzuela, 2007. "Do Global Trade Distortions Still Harm Developing Country Farmers?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 143(1), pages 108-139, April.
    5. Oskam, Arie J. & Meester, Gerrit, 2006. "How useful is the PSE in determining agricultural support?," Food Policy, Elsevier, vol. 31(2), pages 123-141, April.
    6. Nadia Belhaj Hassine & Veronique Robichaud & Bernard Decaluwé, 2010. "Does Agricultural Trade Liberalization Help The Poor in Tunisia? A Micro-Macro View in A Dynamic General Equilibrium Context," Working Papers 556, Economic Research Forum, revised 10 Jan 2010.
    7. Urban, Kirsten & Jensen, Hans G. & Brockmeier, Martina, 2016. "How decoupled is the Single Farm Payment and does it matter for international trade?," Food Policy, Elsevier, vol. 59(C), pages 126-138.
    8. Anonymous & Wigier, Marek & Bułkowska, Małgorzata, 2014. "The new EU agricultural policy - continuation or revolution?," Multiannual Program Reports 179498, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    9. Fleming, Euan M. & Fleming, Pauline, 2007. "Evidence on trends in the single factoral terms of trade in African agricultural commodity production," 81st Annual Conference, April 2-4, 2007, Reading University 7980, Agricultural Economics Society.
    10. Surabhi MITTAL, "undated". "Will OECD Agricultural Trade Reforms Impact India's Crop Prices and Farmers Welfare?," EcoMod2009 21500067, EcoMod.
    11. Francesco CARACCIOLO & Elisabetta GOTOR & Fabio Gaetano SANTERAMO, 2014. "European Common Agricultural Policy Impacts On Developing Countries Commodities Prices," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 14(2).
    12. Diogo, V. & Koomen, E. & Hilst, F. van der, 2012. "Second generation biofuel production in the Netherlands. A spatially-explicit exploration of the economic viability of a perennial biofuel crop," Serie Research Memoranda 0004, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    13. Surabhi Mittal, 2007. "Oecd Agricultural Trade Reforms Impact On India’s Prices And Producers Welfare," Trade Working Papers 22225, East Asian Bureau of Economic Research.

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