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2008 International Congress, August 26-29, 2008, Ghent, Belgium >
Please use this identifier to cite or link to this item:
http://purl.umn.edu/43611
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| Title: | Can the CAP payments facilitate the growth of individual farms in the New Member States post-EU accession? |
| Authors: | Latruffe, Laure
Davidova, Sophia
Douarin, Elodie
Gorton, Matthew |
| Keywords: | Single Area Payments (SAP)
Common Agricultural Policy (CAP)
credit
Lithuania |
| Issue Date: | 2008 |
| Abstract: | The impact of the introduction of EU
Single Area Payments (SAP) on farm strategy in New Member States is investigated for a sample of Lithuanian farms, utilizing farm accounting and survey data. The application of two investment models demonstrates that the credit market in Lithuania was imperfect prior to accession and that some farms were financially constrained. The introduction of the SAP has a significant, positive influence on farmers’ intentions to expand their farm area compared to a baseline scenario of the continuation of pre-accession policy. The switch in policy has a more pronounced effect on farms that were previously credit constrained. While the SAP has been presented as a policy support that is decoupled from production, its introduction will nevertheless have ex post coupled effects, most notably an income multiplier effect on credit constrained farmers. |
| URI: | http://purl.umn.edu/43611 |
| Institution/Association: | European Association of Agricultural Economists>2008 International Congress, August 26-29, 2008, Ghent, Belgium |
| Total Pages: | 8 |
| Collections: | 2008 International Congress, August 26-29, 2008, Ghent, Belgium
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