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The Luxembourg Agreement Reform of the CAP: an Analysis Using the AG-MEMOD Composite Model

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  • Chantreuil, Frédéric
  • Levert, Fabrice
  • Hanrahan, Kevin

Abstract

In this paper we present the results for EU-15 of a simulation of the Luxembourg CAP reform based on the AG-MEMOD composite model. This dynamic partial equilibrium econometric multi products model comprises of national country level sub-models that are combined to be linked and solved in prices generating projections for each country, and the entire EU, for each year to a 10-year horizon. Under the Luxembourg reform scenario simulated direct payments in the grains and oilseeds, cattle and beef, and sheep commodity market organisations are fully decoupled. Intervention price reductions for butter agreed as part of the reform are also considered. The impact of the Luxembourg Agreement reform scenario is measured against a Baseline of a continuation of Agenda 2000 agricultural policy. The impact of the Luxembourg Agreement reform scenario is measured against a Baseline of a continuation of Agenda 2000 EU agricultural policy.

Suggested Citation

  • Chantreuil, Frédéric & Levert, Fabrice & Hanrahan, Kevin, 2005. "The Luxembourg Agreement Reform of the CAP: an Analysis Using the AG-MEMOD Composite Model," 89th Seminar, February 2-5, 2005, Parma, Italy 232590, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaae89:232590
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    Cited by:

    1. Nedka Ivanova & Mariya Peneva & Plamen Mishev & AntoaneTa golemanova & Emil Erjavec, 2007. "Bulgarian Agriculture and EU Accession," Post-Communist Economies, Taylor & Francis Journals, vol. 19(3), pages 263-280.
    2. Myrna van Leeuwen & Petra Salamon & Thomas Fellmann & Martin Banse & Oliver von Ledebur & Guna Salputra & Olexandr Nekhay & Robert M'barek, 2012. "The agri-food sector in Ukraine: Current situation and market outlook until 2025," JRC Working Papers JRC71776, Joint Research Centre (Seville site).
    3. Listorti, Giulia & Esposti, Roberto, 2008. "Making the world market price endogenous within the AGMEMOD modelling framework: an econometric solution," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6659, European Association of Agricultural Economists.
    4. Balkhausen, Oliver & Banse, Martin & Grethe, Harald & Nolte, Stephan, 2005. "Modellierung der Auswirkungen einer Entkopplung der Direktzahlungen in der EU auf die Flächenallokation und Wiederkäuerproduktion: Eine Analyse unterschiedlicher Modellergebnisse," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 54(8).
    5. Thomas Fellmann & Myrna Van Leeuwen & Petra Salamon & Ali Koç & Gülden Bölük & Andrzej Tabeau & Roberto Esposti & Andrea Bonfiglio & Antonello Lobianco & Kevin Hanrahan, 2011. "Potential impacts on agricultural commodity markets of an EU enlargement to Turkey Extension of the AGMEMOD model towards Turkey and accession scenario," JRC Working Papers JRC60663, Joint Research Centre (Seville site).
    6. van Leeuwen, Myrna & Bartova, Lubica & M'Barek, Robert & Kavcic, Stane, 2007. "EU Agricultural Markets Outlook - Agmemod Approach," 100th Seminar, June 21-23, 2007, Novi Sad, Serbia and Montenegro 162403, European Association of Agricultural Economists.
    7. Chantreuil, Frederic & Tabeau, Andrzej A. & van Leeuwen, Myrna, 2008. "Estimation of impact of EU agricultural policies on the world market prices," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6671, European Association of Agricultural Economists.
    8. Giulia LISTORTI, 2008. "Price Transmission Mechanisms: a Policy Investigation of International Wheat Markets," Working Papers 318, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    9. Gohin, Alexandre, 2006. "Assessing the 2003 CAP Reform: Sensitivity to the Decoupling of Agenda 2000 Direct Payments," Working Papers 18868, TRADEAG - Agricultural Trade Agreements.
    10. Blanco, Maria & Garcia-German, Sol & Bardaji, Isabel, 2011. "El modelo de ayudas directas en la PAC post-2013: análisis de impactos de escenarios potenciales," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 11(2).
    11. Chantreuil, Frederic & Donnellan, Trevor & van Leeuwen, Myrna & Salamon, Petra & Tabeau, Andrzej A. & Bartova, Lubica, 2008. "EU Dairy Quota Reform – AGMEMOD Scenario Analysis," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43655, European Association of Agricultural Economists.
    12. Acs, Szvetlana & Armsworth, Paul R & Dallimer, Martin & Gaston, Kevin J & Hanley, Nicholas & Robertson, Philip & Wilson, Paul, 2008. "The effect of decoupling on marginal agricultural systems: implications for farm incomes, land use and upland ecology," Stirling Economics Discussion Papers 2008-18, University of Stirling, Division of Economics.
    13. Balamou, Eudokia & Pouliaikas, Kostas & Roberts, Deborah & Psaltopoulos, Demetrios, 2008. "Modeling The Rural-Urban Effects Of Changes In Agricultural Policies: A Bi-Regional Cge Analysis Of Two Case Study Regions," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6651, European Association of Agricultural Economists.
    14. Salamon, Petra & Chantreuil, Frederic & Donnellan, Trevor & Erjavec, Emil & Esposti, Roberto & Hanrahan, Kevin F. & van Leeuwen, Myrna & Salputra, Guna, 2008. "Linking Large Numbers of Individual National Models: The Case of the AGMEMOD Partnership," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43539, European Association of Agricultural Economists.
    15. Peter Howley & Trevor Donnellan & Kevin Hanrahan, 2009. "The 2003 CAP reform: Do decoupled payments affect agricultural production?," Working Papers 0901, Rural Economy and Development Programme,Teagasc.
    16. Kalniņš, Juris Roberts & Skribans, Valerijs & Ozoliņš, Gints, 2009. "Lauksaimniecības nozares stratēģiskās attīstības sistēmdinamikas modelēšana
      [System Dynamic Modelling of the Strategic Development of Agriculture]
      ," MPRA Paper 19139, University Library of Munich, Germany.
    17. repec:eee:ecomod:v:221:y:2010:i:18:p:2153-2166 is not listed on IDEAS
    18. Britz, Wolfgang & Heckelei, Thomas, 2008. "Recent Developments In Eu Policies – Challenges For Partial Equilibrium Models," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6315, European Association of Agricultural Economists.
    19. Rednak, Miroslav & Volk, Tina & Erjavec, Emil, 2007. "EAA-ABTA Model for Ex-Post and Ex-Ante Analysis of Economic Position of Slovenian Agriculture," 100th Seminar, June 21-23, 2007, Novi Sad, Serbia and Montenegro 162404, European Association of Agricultural Economists.
    20. Salamon, Petra, 2005. "How to Derive Market Impacts of the Luxembourg Agreement on the German Beef Market - A Synthetic Uniform Model versus an Econometric Country Specific Model," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24570, European Association of Agricultural Economists.
    21. Ledebur, Oliver von & Salamon, Petra & Zimmermann, Andrei & van Leeuwen, Myrna & Tabeau, Andrzej A. & Chantreuil, Frederic, 2008. "Modelling Impacts Of Some European Biofuel Measures," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6649, European Association of Agricultural Economists.
    22. Alexandre Gohin, 2006. "Assessing CAP Reform: Sensitivity of Modelling Decoupled Policies," Journal of Agricultural Economics, Wiley Blackwell, vol. 57(3), pages 415-440.
    23. Banse, Martin & Salamon, Petra & Ledebur, Oliver von & van Leeuwen, Myrna & Bouma, Foppe & Salputra, Guna & Fellmann, Thomas & Nekhay, Olexandr, 2012. "Impact of Russia and Ukraine on the international price formation and the EU markets - A Model based analysis," 123rd Seminar, February 23-24, 2012, Dublin, Ireland 122536, European Association of Agricultural Economists.
    24. Guna Salputra & Myrna van Leeuwen & Petra Salamon & Thomas Fellmann & Martin Banse & Oliver Ledebur, 2013. "The agri-food sector in Russia: Current situation and market outlook until 2025," JRC Working Papers JRC76915, Joint Research Centre (Seville site).
    25. Erjavec, Emil & van Leeuven, Myrna & Regoršek, Darja, 2007. "The Development of CEEC Agricultural Markets After EU Accession," 100th Seminar, June 21-23, 2007, Novi Sad, Serbia and Montenegro 162402, European Association of Agricultural Economists.

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