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Distribution of Support and Income in Agriculture

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  • Catherine Moreddu

    (OECD)

Abstract

Agricultural production and support in Canada, the United States, and the European Union are highly concentrated on larger farms, which have higher income levels than the average of all farms. Smaller farms, though, are more dependent on support (in particular, payments) which accounts for a larger share of their gross receipts. As payments to farmers are more equally distributed than production, government support reduces income inequality by farm size and farm type. This study, carried out in the context of the OECD Network for Farm Level Analysis, concludes that improved efficiency and equity of policies will require better targeting of income support and, in turn, better information on the income and wealth situation of the agricultural population.

Suggested Citation

  • Catherine Moreddu, 2011. "Distribution of Support and Income in Agriculture," OECD Food, Agriculture and Fisheries Papers 46, OECD Publishing.
  • Handle: RePEc:oec:agraaa:46-en
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    File URL: http://dx.doi.org/10.1787/5kgch21wkmbx-en
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    Citations

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    Cited by:

    1. Severini, Simone & Tantari, Antonella, 2013. "The effect of the EU farm payments policy and its recent reform on farm income inequality," Journal of Policy Modeling, Elsevier, vol. 35(2), pages 212-227.
    2. Severini, Simone & Tantari, A., 2012. "How direct payments and their reform have affected farm income inequality in Italy?," Congress Papers 124099, Italian Association of Agricultural and Applied Economics (AIEAA).
    3. Briones, Roehlano M. & Tolin, Lovely Ann C., 2015. "Options for Supporting Rice Farmers Under a Post-QR Regime: Review and Assessment," Discussion Papers DP 2015-46, Philippine Institute for Development Studies.
    4. Loughrey, Jason & Donnellan, Trevor & Lennon, John, 2016. "The Inequality of Farmland Size in Western Europe," 90th Annual Conference, April 4-6, 2016, Warwick University, Coventry, UK 236341, Agricultural Economics Society.
    5. Briones, Roehlano M. & Tolin, Lovely Ann C., 2015. "Options for Supporting Rice Farmers Under a Post-QR Regime: Review and Assessment," Research Paper Series DP 2015-46, Philippine Institute for Development Studies.
    6. Severini, Simone & Tantari, Antonella, 2015. "The distributional impact of agricultural policy tools on Italian farm household incomes," Journal of Policy Modeling, Elsevier, vol. 37(1), pages 124-135.

    More about this item

    Keywords

    agricultural policy; agricultural support; distribution of support; equity; farm wealth; income distribution; targeting;

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy

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