IDEAS home Printed from https://ideas.repec.org/p/ags/eaa107/6697.html
   My bibliography  Save this paper

Modelling the Hungarian Agriculture: a methodological overview of the FARM-T model

Author

Listed:
  • Himics, Mihaly

Abstract

This paper provides an opportunity for the reader to get an insight into the current modelling work at the Research Institute for Agricultural Economics, Hungary (AKI). After giving a short summary of the applied econometric models in the past decade, our latest development, the farm group model FARM-T will be introduced. Before introducing FARM-T in details, we devote the second part of the paper to collect all the major challenges we faced during the model development process, when we tried to establish a model structure, with which the possible effects of the introduction of the Single Payment Scheme (SPS) in Hungary can be properly estimated. Therefore, this chapter is meant to explain our motivation for choosing the applied model concept. In the following part of the paper, we provide a detailed introduction into the model. First, we describe the general structure, and then we go into the details about supply and demand sides. We lay an emphasis on the supply side, and especially how the agricultural production is represented by farm groups. After describing supply and demand sides, we focus on how the equilibrium is reached. Here, we discuss the interrelationships between sectors in more details (e.g. connection between crop and livestock production). We also stress the importance of regionally differentiated export and import markets. This enables us to take the various transportation modes, distances and market positions on different external markets into account. Finally, we discuss special model building issues related to the 2003 CAP reform, especially how the effects of decoupling of direct payments from production are estimated. We close this paper with a short summary of the problems concerned.

Suggested Citation

  • Himics, Mihaly, 2008. "Modelling the Hungarian Agriculture: a methodological overview of the FARM-T model," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6697, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaa107:6697
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/6697
    Download Restriction: no

    Citations

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


    Cited by:

    1. Udovecz, Gabor & Popp, Jozsef & Potori, Norbert, 2008. "New challenges for Hungarian agriculture," Studies in Agricultural Economics, Research Institute for Agricultural Economics, issue 108, July.

    More about this item

    Keywords

    FARM-T; partial equilibrium model; farm groups; Demand and Price Analysis; Research Methods/ Statistical Methods;

    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:ags:eaa107:6697. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: http://edirc.repec.org/data/eaaeeea.html .

    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.

    We have no references for this item. You can help adding them by using 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.