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To which extent are counter-cyclical payments more distorting than single farm payments? Evidence from a farm household model

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  • Sébastien Mary

Abstract

The distinction between single farm payments (SFP) and counter-cyclical payments (CCPs) is mainly based on theory. Due to a lack of empirical comparative studies between these payments, it is difficult to confirm the claim that CCPs are more distorting. This paper provides a comparative analysis of these payments and quantifies the impact of such payments in the presence of debt constraints. The main findings are that CCPs are more distorting than SFP. However, the magnitude of the impact estimates is not as large as suggested by the different treatment received by both support programmes in the WTO negotiations. , Oxford University Press.

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  • Sébastien Mary, 2013. "To which extent are counter-cyclical payments more distorting than single farm payments? Evidence from a farm household model," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 40(4), pages 685-706, September.
    • Handle: RePEc:oup:erevae:v:40:y:2013:i:4:p:685-706
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    File URL: http://hdl.handle.net/10.1093/erae/jbt009
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    Cited by:

    1. Edward Knapp & Jason Loughrey, 2017. "The single farm payment and income risk in Irish farms 2005–2013," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 5(1), pages 1-15, December.
    2. Mary, Sebastien & Santini, Fabien & Boulanger, Pierre, 2013. "An Ex-Ante Assessment of CAP Income Stabilisation Payments using a Farm Household Model," 87th Annual Conference, April 8-10, 2013, Warwick University, Coventry, UK 158860, Agricultural Economics Society.
    3. Zawalińska, Katarzyna & Ciechomska, Anna & Jendrzejewski, Błażej, 2016. "Challenges for Modelling CAP 2014–2020 within CGE Model Framework," Village and Agriculture (Wieś i Rolnictwo), Polish Academy of Sciences (IRWiR PAN), Institute of Rural and Agricultural Development, vol. 4(173).
    4. Ernesto Lopez‐Valeiras & Jacobo Gomez‐Conde & Teresa Fernandez‐Rodriguez, 2016. "Firm Size and Financial Performance: Intermediate Effects of Indebtedness," Agribusiness, John Wiley & Sons, Ltd., vol. 32(4), pages 454-465, November.

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