IDEAS home Printed from https://ideas.repec.org/p/adl/cieswp/2009-03.html
   My bibliography  Save this paper

How Distorted Have Agricultural Incentives Become in EuropeÂ’s Transition Economies?

Author

Listed:
  • Kym Anderson

    (School of Economics, University of Adelaide)

  • Johan Swinnen

    (Department of Economics, Katholieke Universiteit, Leuven, Belgium)

Abstract

Over the past two decades, earnings from farming in the former communist countries of Eastern Europe and Central Asia have been altered hugely by government sectoral and trade policy reforms. This paper summarizes evidence on the changing extent of distortions to markets for farm products since the transition away from planned prices began. In particular, it examines the extent to which, following the initial shocks, there has been a gradual improvement in farmer incentives. This new evidence is not inconsistent with that past pattern of earlier-developing countries, but the speed of assistance increase is relatively rapid and is linked with actual or desired accession to the European Union. The final section focuses on future prospects, and in particular on what might be done to avoid agricultural protection levels becoming excessive.

Suggested Citation

  • Kym Anderson & Johan Swinnen, 2009. "How Distorted Have Agricultural Incentives Become in EuropeÂ’s Transition Economies?," Centre for International Economic Studies Working Papers 2009-03, University of Adelaide, Centre for International Economic Studies.
    • Handle: RePEc:adl:cieswp:2009-03
    as

    Download full text from publisher

    File URL: http://www.adelaide.edu.au/cies/papers/Discussion_Paper0903.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. De Gorter, Harry & Swinnen, Johan, 2002. "Political economy of agricultural policy," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 2, chapter 36, pages 1893-1943, Elsevier.
    2. World Bank, 2007. "World Development Indicators 2007," World Bank Publications - Books, The World Bank Group, number 8150.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chen, You-hua & Chen, Mei-xia & Mishra, Ashok K., 2020. "Subsidies under uncertainty: Modeling of input- and output-oriented policies," Economic Modelling, Elsevier, vol. 85(C), pages 39-56.
    2. Mugurel Ionel JITEA & Diana Elena DUMITRAȘ & Vasile Alexandru SIMU, 2015. "An ex-ante impact assessment of the Common Agricultural Policy reform in the North-Western Romania," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 61(2), pages 88-103.
    3. repec:lic:licosd:32312 is not listed on IDEAS
    4. You-Hua CHEN & Jun-Yi WAN & Chan WANG, 2015. "Agricultural subsidy with capacity constraints and demand elasticity," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 61(1), pages 39-49.
    5. You-hua Chen & Zhuang Zhang & Ashok K. Mishra, 2023. "A flexible and efficient hybrid agricultural subsidy design for promoting food security and safety," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-8, December.
    6. Kym Anderson, 2016. "Agricultural Trade, Policy Reforms, and Global Food Security," Palgrave Studies in Agricultural Economics and Food Policy, Palgrave Macmillan, number 978-1-137-46925-0, November.
    7. Kym Anderson & Gordon Rausser & Johan Swinnen, 2013. "Political Economy of Public Policies: Insights from Distortions to Agricultural and Food Markets," Journal of Economic Literature, American Economic Association, vol. 51(2), pages 423-477, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gawande, Kishore & Hoekman, Bernard, 2009. "Why Governments Tax or Subsidize Trade: Evidence from Agriculture," Agricultural Distortions Working Paper Series 50300, World Bank.
    2. Anderson, Kym & Croser, Johanna L. & Sandri, Damiano & Valenzuela, Ernesto, 2009. "Agricultural Distortion Patterns Since the 1950s: What Needs Explaining?," Agricultural Distortions Working Paper Series 50305, World Bank.
    3. Engelhardt, Sebastian v. & Freytag, Andreas, 2013. "Institutions, culture, and open source," Journal of Economic Behavior & Organization, Elsevier, vol. 95(C), pages 90-110.
    4. David K. Evans & Arkadipta Ghosh, 2008. "Prioritizing Educational Investments in Children in the Developing World," Working Papers WR-587, RAND Corporation.
    5. Ricardo A. Lopez, 2007. "Exports and Productivity – Comparable Evidence for 14 Countries," CAEPR Working Papers 2007-028, Center for Applied Economics and Policy Research, Department of Economics, Indiana University Bloomington.
    6. Fofack, Hippolyte, 2008. "Technology trap and poverty trap in Sub-Saharan Africa," Policy Research Working Paper Series 4582, The World Bank.
    7. Oya Celasun & Philipp Harms, 2011. "Boon Or Burden? The Effect Of Private Sector Debt On The Risk Of Sovereign Default In Developing Countries," Economic Inquiry, Western Economic Association International, vol. 49(1), pages 70-88, January.
    8. Alessandro Olper & Johan Swinnen, 2013. "Mass Media and Public Policy: Global Evidence from Agricultural Policies," The World Bank Economic Review, World Bank, vol. 27(3), pages 413-436.
    9. Edsel Beja Jr., 2007. "The Tenth Anniversary of the Asian Financial Crisis: A Retrospective on East Asian Economic Performance," Challenge, Taylor & Francis Journals, vol. 50(5), pages 57-72.
    10. Gerring, John & Thacker, Strom C. & Lu, Yuan & Huang, Wei, 2015. "Does Diversity Impair Human Development? A Multi-Level Test of the Diversity Debit Hypothesis," World Development, Elsevier, vol. 66(C), pages 166-188.
    11. Diego A. Comin & Bart Hobijn, 2009. "The CHAT Dataset," Harvard Business School Working Papers 10-035, Harvard Business School.
    12. World Bank, 2015. "Republic of Yemen," World Bank Publications - Reports 23660, The World Bank Group.
    13. Dalila Nicet-Chenaf & Eric Rougier, 2009. "Human capital and structural change: how do they interact with each others in growth," Post-Print hal-00798441, HAL.
    14. Jo Thori Lind & Karl Moene, 2011. "Miserly Developments," Journal of Development Studies, Taylor & Francis Journals, vol. 47(9), pages 1332-1352, June.
    15. repec:ebl:ecbull:v:17:y:2008:i:22:p:1-11 is not listed on IDEAS
    16. Kenneth Harttgen & Stephan Klasen, 2010. "Fragility and MDG Progress: How useful is the Fragility Concept?," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers 41, Courant Research Centre PEG.
    17. Matthew A. Cole & Robert J.R. Elliott & Jing Zhang, 2011. "Growth, Foreign Direct Investment, And The Environment: Evidence From Chinese Cities," Journal of Regional Science, Wiley Blackwell, vol. 51(1), pages 121-138, February.
    18. Adalgiso Amendola & Joshy Easaw & Antonio Savoia, 2013. "Inequality in developing economies: the role of institutional development," Public Choice, Springer, vol. 155(1), pages 43-60, April.
    19. Kym Anderson & Johan Swinnen, 2008. "Distortions to Agricultural Incentives in Europe's Transition Economies," World Bank Publications - Books, The World Bank Group, number 6502.
    20. Diego E. Vacaflores, 2011. "Was Latin America Correct In Relying In Foreign Direct Investment To Improve Employment Rates?," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 11(2).
    21. Castellacci, Fulvio, 2008. "Technology clubs, technology gaps and growth trajectories," Structural Change and Economic Dynamics, Elsevier, vol. 19(4), pages 301-314, December.

    More about this item

    Keywords

    Distorted farmer and consumer incentives; agricultural price and trade policy reforms; agricultural development; European transition economies;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:adl:cieswp:2009-03. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dmitriy Kvasov (email available below). General contact details of provider: https://edirc.repec.org/data/cieadau.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.