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Faut-il une intervention publique pour stabiliser les marchés agricoles ? Revue des questions non résolues

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Listed:
  • Fabienne Féménia

    (INRA, UMR1302 SMART, F-35000 Rennes, France/Agrocampus Ouest, UMR 1302 SMART, F-35000 Rennes, France)

  • Alexandre Gohin

    (INRA, UMR1302 SMART, F-35000 Rennes, France/Agrocampus Ouest, UMR1302 SMART, F-35000 Rennes, France / CEPII, F-75700 Paris SP07, France)

Abstract

[paper in French] The stabilization of agricultural markets and incomes is, with the support of farm income, one of the initial objectives of the Common Agricultural Policy (CAP). These two objectives have long been reached simultaneously thanks to price support mechanisms. However, the successive CAP reforms have progressively replaced these instruments by a system of payments more and more decoupled from production and prices. The evolution of the CAP thus questions its price stabilizing aspect, and one can wonder whether new risk managing instruments (insurance, future markets, credits, storage) should be facilitated by the public authority. This article looks over different issues concerning, first the evaluation of agricultural market risks and their economic impacts, second the strengths and weaknesses of private risk managing instruments, and third the need for, and possible forms of, a public intervention to stabilize agricultural incomes. The conclusion underlines the unsolved issues, which will have to be dealt within order to determine whether a public intervention is optimal or not.

Suggested Citation

  • Fabienne Féménia & Alexandre Gohin, 2010. "Faut-il une intervention publique pour stabiliser les marchés agricoles ? Revue des questions non résolues," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 91(4), pages 435-456.
  • Handle: RePEc:rae:jourae:v:91:y:2010:i:4:p:435-456
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    References listed on IDEAS

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    Cited by:

    1. Chatellier, Vincent, 2011. "Price volatility, market regulation and risk management: challenges for the future of the CAP," Working Papers 208110, Institut National de la recherche Agronomique (INRA), Departement Sciences Sociales, Agriculture et Alimentation, Espace et Environnement (SAE2).
    2. Carl GAIGNÉ & Cathie LAROCHE DUPRAZ & Alan MATTHEWS, 2015. "Thirty years of European research on international trade in food and agricultural products," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 96(1), pages 91-130.
    3. Delphine Boutin, 2011. "D’une crise à l’autre : Mesurer l’impact des prix alimentaires sur la pauvreté," Larefi Working Papers 1106, Larefi, Université Bordeaux 4.
    4. Yankou Diasso, 2014. "Dynamique du prix international du coton : aléas, aversion au risque et chaos," Recherches économiques de Louvain, De Boeck Université, vol. 80(4), pages 53-86.
    5. Delphine Boutin, 2011. "D’une crise à l’autre : Mesurer l’impact des prix alimentaires sur la pauvreté," Larefi Working Papers 201106, Larefi, Université Bordeaux 4.

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    More about this item

    Keywords

    risk management; Common Agricultural Policy; insurance; future contracts; storage; public intervention;
    All these keywords.

    JEL classification:

    • D84 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Expectations; Speculations
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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