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Lecture 7
The CAP
Solow Growth
Model

Capital Mkt
Integration

The

Common
Agricultural
and Fisheries
Policies
Common Agricultural Policy (CAP)
Handout
Simple Price Support with Tariff
Food Tax
Interpretation
Farm Size Distribution in I987

- Share of EU-I2

Farm Size N.  Farms as Far, m Land in Average
N.  Farms .  Farm Size
(hc...
v 2.-rv

I-5

/ 

nu V, 

Size of Farms

5-I0 '9 I0-20  20-50

 

>50

|  5o_o Average Size
(hc)
The CAP Causes Problems

l: The supply problem
Handout
The Supply Problem
The CAP Causes Problems

2:Wor| d Market Impact
The CAP Causes Problems

3: Budget & Storage
The CAP Causes Problems

4: Effect on Farm Size
Other CAP Problems
CAP
Reforms

l~‘l I! l=: ‘.‘i-

-; -i-i-4
Evaluation of
Today’s CAP

C L)C3C/ 
9/‘ 7
3
OR
Q®<’«/  0
‘IF . 
%
~ / 
~~’  -
I
- I ~. .
I
- C 

<2
Farm Incomes and CAP
Support lnequity
Future Challenges

Eastern Enlargement: 

number of farms will rise from 7 million to
30 million

farmland rise from I30 m...
EU Newcomers:  Farm
Facts
Summary

*1? Enlargement & the CAP
9 CAP reforms & Doha Round
*3 Simple Price changes with tariffs
I#Competition Policies,  Regional Policies and
Environmental Policies in the EU

Read El-Agraa,  A.  M. , The European Uni...
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Ec4333 2007 Lecture7 The CAP

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Ec4333 2007 Lecture7 The CAP

  1. 1. Lecture 7 The CAP
  2. 2. Solow Growth Model Capital Mkt Integration The Common Agricultural and Fisheries Policies
  3. 3. Common Agricultural Policy (CAP)
  4. 4. Handout Simple Price Support with Tariff
  5. 5. Food Tax Interpretation
  6. 6. Farm Size Distribution in I987 - Share of EU-I2 Farm Size N. Farms as Far, m Land in Average N. Farms . Farm Size (hc) Sare of Total Size Class (hc) u—s 5»-o M Total 6.929 |0O% I I5 (mill ha) |6.5 Source: Tab| e 3.4--4.| ,The Agricultural Situation in the Community, I993
  7. 7. v 2.-rv I-5 / nu V, Size of Farms 5-I0 '9 I0-20 20-50 >50 | 5o_o Average Size (hc)
  8. 8. The CAP Causes Problems l: The supply problem
  9. 9. Handout The Supply Problem
  10. 10. The CAP Causes Problems 2:Wor| d Market Impact
  11. 11. The CAP Causes Problems 3: Budget & Storage
  12. 12. The CAP Causes Problems 4: Effect on Farm Size
  13. 13. Other CAP Problems
  14. 14. CAP Reforms l~‘l I! l=: ‘.‘i- -; -i-i-4
  15. 15. Evaluation of Today’s CAP C L)C3C/ 9/‘ 7 3 OR Q®<’«/ 0 ‘IF . % ~ / ~~’ - I - I ~. . I - C <2
  16. 16. Farm Incomes and CAP Support lnequity
  17. 17. Future Challenges Eastern Enlargement: number of farms will rise from 7 million to 30 million farmland rise from I30 million hectares to I70 million.
  18. 18. EU Newcomers: Farm Facts
  19. 19. Summary *1? Enlargement & the CAP 9 CAP reforms & Doha Round *3 Simple Price changes with tariffs
  20. 20. I#Competition Policies, Regional Policies and Environmental Policies in the EU Read El-Agraa, A. M. , The European Union: Economics and Policies, 6th ed. , pgs. 388-399 and I 87- I 99, 33 7. I 42 AGR.

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