Assessing the Causal Effect of Decoupled Payments on farm labour in Tuscany Using Propensity Score Methods

We analyze the impact on employment of the 2003/2005 CAP reform (decoupled payments) in Tuscany farms. We use data coming from census (2000 and 2010) and administrative archives, and apply propensity score-based methods to evaluate the average treatment effect of pay- ments on employment-related outcomes, taking into account that the assignment mechanism of payments was non-random. We further investigate impact heterogeneity using a generalized propensity-score matching methodology focussing on a subgroup of farms. Results show that there exists some effect of the payments on employment and that the impact is heterogeneous over the different amounts of payments.

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Conference Paper/ Presentation
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JEL Codes:
Q18; Q12; J43

 Record created 2017-04-01, last modified 2018-01-23

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