@article{Ciliberti:301890, recid = {301890}, author = {Ciliberti, Stefano and Frascarelli, Angelo}, title = {The income effect of CAP subsidies: implications of distributional leakages for transfer efficiency in Italy}, journal = {Bio-based and Applied Economics Journal}, address = {2018-08-31}, number = {1050-2020-537}, month = {Aug}, year = {2018}, abstract = {Enhancing farm income level is one of the main purpose of the Common Agricultural Policy (CAP). The ability to reach such a goal can be measured in terms of transfer efficiency, that is affected by the presence of distributive leakages through the agro-food system. The present work aims to shed light on the income distributional effects of the main forms of CAP subsidies in Italy over the period 2008–2014: single payment scheme, coupled payment and second pillar aids. To this aim, an Arellano–Bond linear dynamic panel-data estimation (based on a database provided by the Italian FADN) is performed. Results show that all the main types of CAP support have a significant income effect, even though some relevant differences occur between decoupled and coupled components of direct payments received by Italian farmers as a consequence of distributional leakages.}, url = {http://ageconsearch.umn.edu/record/301890}, doi = {https://doi.org/10.22004/ag.econ.301890}, }