Do CAP payments reduce farm labour migration? A panel data analysis across EU regions

Does Common Agricultural Policy Reduce Farm Labour Migration? A Panel Data Analysis Across EU Regions

This paper deals with the determinants of labour out-migration from agriculture across 153 EU regions over the 1990-2008 period. The central aim is to shed light on the role played by CAP payments on this important adjustment process. Using static and dynamic panel data methods, we show that standard neo-classic drivers, like the relative income and the relative labour share, represented signif...

Direct payments of the CAP – distribution across farm holdings in the EU and effects on farm household incomes in Austria

In 1992, the EU initiated the process of decoupling income transfers from agricultural production which has culminated in the 2003 reform of the common agricultural policy (CAP). In this reform 'single farm payments' have been introduced which are based on direct payments during the reference period 2000-2002. We use statistics of such payments to explore the distribution patterns across farm h...

Reallocation of Agricultural Labor and Farm Subsidies: Evidence From the EU Regions

The paper deals with the determinants of labour out-migration from agriculture across 149 EU regions over the 1990-2008 period. The central aim is to shed light on the role played by CAP payments on this important adjustment process. Using static and dynamic panel data estimators, we show that standard neo-classic drivers, like the relative income and the relative labour share, represent signif...

Farm expansion in Lithuania after accession to the EU: The role of CAP payments in alleviating potential credit constraints

The impact of the introduction of EU Single Area Payments (SAP) on farm expansion strategy in Lithuania is investigated, utilizing farm accounting and survey data. The introduction of the SAP has a positive influence on farmers’ intentions to expand their area compared to a baseline scenario of the hypothetical continuation of pre-accession policy. The switch in policy has a more pronounced eff...

The CAP in Disarray: EU Commission Proposes Basic Direct Payments to EU Farmers