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An input-output approach in assessing the impact of extensive versus intensive farming systems on rural development: the case of Greece

  • Elias Giannakis

    ()

    (Agricultural Economics and Rural Development Department, Agricultural University of Athens)

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    This paper analyses the role of the extensive versus the intensive farming systems on rural development and specifically in a Greek rural area Trikala. The Generation of Regional Input Output Tables (GRIT) technique is applied for the estimation of the socio-economic impact of the farming systems through the estimation of an input-output (I/O) table. This is followed by an agriculture-centred multiplier analysis. The results suggest that intensive crops create stronger backward linkages from extensive ones. Almost all farming systems appear to have rather low Type 1 and Type 2 income and employment multipliers. Amongst them extensive crops seem to have the greatest due to high direct income and employment effects they create. Finally, the paper assesses the impact of the shift of land resources from intensive to extensive farming systems, due to the Mid-term Review of CAP, by exogenizing the output of the agricultural farming systems. The results of the above analysis indicate a reduction in the sectoral output of the region’s economy.

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    File URL: http://aoatools.aua.gr/RePEc/aua/wpaper/files/2010_01_giannakis.pdf
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    Paper provided by Agricultural University of Athens, Department Of Agricultural Economics in its series Working Papers with number 2010-01.

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    Length: 20
    Date of creation: 2010
    Date of revision:
    Handle: RePEc:aua:wpaper:2010-01
    Contact details of provider: Web page: http://www.aoa.aua.gr

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    1. Claudia Ciobanu & Konstadinos Mattas & Dimitris Psaltopoulos, 2004. "Structural Changes in Less Developed Areas: An Input- Output Framework," Regional Studies, Taylor & Francis Journals, vol. 38(6), pages 603-614.
    2. Christos T. Papadas & Dale C. Dahl, 1999. "Supply-Driven Input-Output Multipliers," Journal of Agricultural Economics, Wiley Blackwell, vol. 50(2), pages 269-285.
    3. Henry, Mark & Schluter, Gerald, 1985. "Measuring Backward and Forward Linkages in the U.S. Food and Fiber System," Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, issue 4.
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