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The European Union's Common Agricultural Policy (CAP)

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  • Alan Swinbank

Abstract

The EU's CAP has changed significantly over theyears, largely as a result of international pressure through GATT and the WTO, but it still has the support of farm incomes as its main concern. The old CAP of market price support has more or less been displaced by decoupled income support, in the shape of the Single Payment Scheme. Cross compliance applies, addressing concerns about European agriculture's multifunctionality; and there is a renewed anxiety about food security. The CAP's Second Pillar, with targeted support for rural development and environmental protection, plays a subsidiary role.

Suggested Citation

  • Alan Swinbank, 2011. "The European Union's Common Agricultural Policy (CAP)," The New Palgrave Dictionary of Economics,, Palgrave Macmillan.
    • Handle: RePEc:pal:dofeco:v:5:year:2011:doi:3851
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    More about this item

    Keywords

    Agriculture; CAP; Common Agricultural Policy; decoupled payments; EU; farm income; food security; General Agreement on Tariffs and Trade; GATT; multifunctionality; rural development; Second Pillar; World Trade Organization; WTO;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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