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PR - Ecological Effects Of Payment Decoupling In A Case Study Region In Germany

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  • Uthes, Sandra
  • Sattler, Claudia
  • Reinhardt, Franz-Josef
  • Piorr, Annette
  • Zander, Peter
  • Happe, Kathrin
  • Damgaard, Martin
  • Osuch, Amanda

Abstract

The paper explores the ecological effects of a policy change from coupled direct payments to decoupled single farm payments in a case study region in Germany. Since decoupling is expected to affect agricultural production and trade, both statically with respect to the incentive prices of agricultural inputs or outputs, and dynamically with respect to their investment decisions, we have developed a modelling approach that is built on two micro-economic models – AgriPoliS (agent-based) and MODAM (linear programming + fuzzy-logic-based environmental impact assessment). The model linking makes it possible to analyse dynamically both structural change of the farming sector and agricultural-management-related environmental impacts. Our analysis comes to ambiguous results. In comparison to Agenda 2000, payment decoupling leads to greater land abandonment and reduced stocking numbers, especially in the beef sector. On arable land, the trend goes towards intensification, while on grassland cross-compliance leads to a more extensive agricultural management.

Suggested Citation

  • Uthes, Sandra & Sattler, Claudia & Reinhardt, Franz-Josef & Piorr, Annette & Zander, Peter & Happe, Kathrin & Damgaard, Martin & Osuch, Amanda, 2007. "PR - Ecological Effects Of Payment Decoupling In A Case Study Region In Germany," 16th Congress, Cork, Ireland, July 15-20, 2007 345426, International Farm Management Association.
    • Handle: RePEc:ags:ifma07:345426
    DOI: 10.22004/ag.econ.345426
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    References listed on IDEAS

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    1. Zander, P. & Kachele, H., 1999. "Modelling multiple objectives of land use for sustainable development," Agricultural Systems, Elsevier, vol. 59(3), pages 311-325, March.
    2. Claudia Sattler & Johannes Schuler & Peter Zander, 2006. "Determination of trade-off-functions to analyse the provision of agricultural non-commodities," International Journal of Agricultural Resources, Governance and Ecology, Inderscience Enterprises Ltd, vol. 5(2/3), pages 309-325.
    3. Happe, Kathrin & Kellermann, Konrad & Balmann, Alfons, 2006. "Agent-based analysis of agricultural policies: An illustration of the agricultural policy simulator AgriPoliS, its adaptation and behavior," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 11(1).
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