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Structural change in European calf markets: Policy decoupling and movement restrictions

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  • Ihle, Rico
  • Brümmer, Bernhard
  • Thompson, Stanley R.

Abstract

We analyse weekly calf prices from 2003 to 2009 to assess the impact of two important events which changed the structure of European cattle markets. We find the four European calf markets studied to be integrated. The decoupling of farm payments in the framework of the 2003 reforms of the Common Agricultural Policy is found to reduce prices. We ascertain that the outbreak of the Blue Tongue disease induced a structural change in some of the markets. Using counterfactual scenarios, we provide an indication of the effects resulting from granting member states a high degree of discretion in implementation.

Suggested Citation

  • Ihle, Rico & Brümmer, Bernhard & Thompson, Stanley R., 2010. "Structural change in European calf markets: Policy decoupling and movement restrictions," 114th Seminar, April 15-16, 2010, Berlin, Germany 61085, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaa114:61085
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    File URL: http://purl.umn.edu/61085
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    1. Gloria González-Rivera & Steven M. Helfand, 2001. "The Extent, Pattern, and Degree of Market Integration: A Multivariate Approach for the Brazilian Rice Market," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 576-592.
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    Cited by:

    1. Amikuzuno, Joseph & Ihle, Rico, 2010. "Seasonal Asymmetric Price Transmission in Ghanaian Tomato Markets: Adapting Johansen’s Estimation Method," 2010 AAAE Third Conference/AEASA 48th Conference, September 19-23, 2010, Cape Town, South Africa 96814, African Association of Agricultural Economists (AAAE);Agricultural Economics Association of South Africa (AEASA).

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    Keywords

    2003 CAP reform; cattle market; decoupling; European Union; market integration; Agricultural and Food Policy; Farm Management; Land Economics/Use;

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