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The Common Agricultural Policy In Multisectoral Models


  • de Muro, Pasquale
  • Salvatici, Luca


The paper reviews the multisectoral models used in the last 10 years to analyse the effects of the Common Agricultural Policy. It begins with a presentation of the theoretical structure of computable general equilibrium models, including both single-region and multi-region models. In this respect, the paper deals with the questions of disaggregation of commodities, households, regions and factors of production, as well as the issues of parameter specification and model closure. The paper then turns to the problems of modelling policies which are included in the present CAP. Firstly, there is the issue of the linkages between institutional and market prices. Secondly, there is the issue of decoupled or semi-decoupled direct payments. Thirdly, there are those related to monitoring the effects of the implementation of Uruguay Round Agreement commitments. Fourthly, there are the questions on the modelling of different policy instruments either related to the use of output, or input. The paper closes with an appraisal of the state of the art and recommends directions for future research, data needs and modelling efforts on the CAP.

Suggested Citation

  • de Muro, Pasquale & Salvatici, Luca, 2001. "The Common Agricultural Policy In Multisectoral Models," Working Papers 14804, National Institute of Agricultural Economics, Italy - INEA, Osservatorio Sulle Politiche Agricole dell'UE.
  • Handle: RePEc:ags:ineawp:14804

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    Cited by:

    1. Casado, José María & Gracia, Azucena, 2005. "An Assessment of the Luxembourg Agreement on the Spanish Agricultural Sector: an Econometric Model," 89th Seminar, February 2-5, 2005, Parma, Italy 232589, European Association of Agricultural Economists.
    2. Ernesto Jesús Veres Ferrer, 2006. "Diseño de un índice para la medicion del desarrollo humano/Design of an human development index," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 24, pages 1013-1042, Diciembre.
    3. Casado, Jose Maria & Gracia, Azucena, 2006. "Introducing Different Land Uses (Irrigated and Non-Irrigated) in Policy Analysis Modelling for Mediterranean Countries," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25709, International Association of Agricultural Economists.
    4. Abler, David G., 2006. "Approaches to Measuring the Effects of Trade Agreements," Commissioned Papers 140762, Canadian Agricultural Trade Policy Research Network.


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