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International audience ; This paper assesses the farm-level impacts of trade liberalisation and CAP removal across EU using IFM-CAP (Individual Farm Model for CAP Analysis). IFM-CAP is a static positive programming model developed to capture the full heterogeneity of EU farms in terms of feedback to policy representation and impacts. Simulation results show that a small set of farm-types experience an increase in income due to the improvement in prices and yields (e.g. farms spe-cialised in granivores, milk and horticulture), while farms that are most CAP subsidy dependent (e.g. specialist cattle, specialist COP and small farms) lose income by more than 12% at aggregate EU level. As much as 77% of all farms lose income if CAP is removed , while the proportion of most income vulnerable farms almost doubles. ; Cet article évalue les impacts au niveau de l'exploitation agricole de la libéralisation du commerce et de la suppression de la PAC à travers l'UE en utilisant IFM-CAP (modèle de ferme individuel pour l'analyse de la PAC). IFM-CAP est un modèle de programmation positive statique développé pour prendre en compte la pleine hétérogénéité des exploitations agricoles de l'UE en termes de représentation et d'impact des politiques. Les résultats de la simulation montrent qu'un petit ensemble d'exploitation agricole type enregistre une augmentation de revenu en raison de l'amélioration des prix et des rendements (par exemple, les exploitations spécialisées dans les granivores, le lait et l'horticulture), tandis que les exploitations qui dépendent le plus de la PAC (par exemple celles spécialisées en bovins et en COP et les petites exploitations) perdent plus de 12% des revenus au niveau agrégé de l'UE. Jusqu'à 77% de toutes les exploitations agricoles perdent des revenus si la PAC est supprimée, tandis que la proportion des exploitations agricoles les plus vulnérables double.

International audience ; This paper assesses the farm-level impacts of trade liberalisation and CAP removal across EU using IFM-CAP (Individual Farm Model for CAP Analysis). IFM-CAP is a static positive programming model developed to capture the full heterogeneity of EU farms in terms of feedback to policy representation and impacts. Simulation results show that a small set of farm-types experience an increase in income due to the improvement in prices and yields (e.g. farms spe-cialised in granivores, milk and horticulture), while farms that are most CAP subsidy dependent (e.g. specialist cattle, specialist COP and small farms) lose income by more than 12% at aggregate EU level. As much as 77% of all farms lose income if CAP is removed , while the proportion of most income vulnerable farms almost doubles. ; Cet article évalue les impacts au niveau de l'exploitation agricole de la libéralisation du commerce et de la suppression de la PAC à travers l'UE en utilisant IFM-CAP (modèle de ferme individuel pour l'analyse de la PAC). IFM-CAP est un modèle de programmation positive statique développé pour prendre en compte la pleine hétérogénéité des exploitations agricoles de l'UE en termes de représentation et d'impact des politiques. Les résultats de la simulation montrent qu'un petit ensemble d'exploitation agricole type enregistre une augmentation de revenu en raison de l'amélioration des prix et des rendements (par exemple, les exploitations spécialisées dans les granivores, le lait et l'horticulture), tandis que les exploitations qui dépendent le plus de la PAC (par exemple celles spécialisées en bovins et en COP et les petites exploitations) perdent plus de 12% des revenus au niveau agrégé de l'UE. Jusqu'à 77% de toutes les exploitations agricoles perdent des revenus si la PAC est supprimée, tandis que la proportion des exploitations agricoles les plus vulnérables double.

International audience ; This paper assesses the farm-level impacts of trade liberalisation and CAP removal across EU using IFM-CAP (Individual Farm Model for CAP Analysis). IFM-CAP is a static positive programming model developed to capture the full heterogeneity of EU farms in terms of feedback to policy representation and impacts. Simulation results show that a small set of farm-types experience an increase in income due to the improvement in prices and yields (e.g. farms spe-cialised in granivores, milk and horticulture), while farms that are most CAP subsidy dependent (e.g. specialist cattle, specialist COP and small farms) lose income by more than 12% at aggregate EU level. As much as 77% of all farms lose income if CAP is removed , while the proportion of most income vulnerable farms almost doubles. ; Cet article évalue les impacts au niveau de l'exploitation agricole de la libéralisation du commerce et de la suppression de la PAC à travers l'UE en utilisant IFM-CAP (modèle de ferme individuel pour l'analyse de la PAC). IFM-CAP est un modèle de programmation positive statique développé pour prendre en compte la pleine hétérogénéité des exploitations agricoles de l'UE en termes de représentation et d'impact des politiques. Les résultats de la simulation montrent qu'un petit ensemble d'exploitation agricole type enregistre une augmentation de revenu en raison de l'amélioration des prix et des rendements (par exemple, les exploitations spécialisées dans les granivores, le lait et l'horticulture), tandis que les exploitations qui dépendent le plus de la PAC (par exemple celles spécialisées en bovins et en COP et les petites exploitations) perdent plus de 12% des revenus au niveau agrégé de l'UE. Jusqu'à 77% de toutes les exploitations agricoles perdent des revenus si la PAC est supprimée, tandis que la proportion des exploitations agricoles les plus vulnérables double.

AbstractThis paper analyzes the microeconomic effects of the 2013 reform of the EU's Common Agricultural Policy (CAP). This is done using the EU‐wide individual farm model (IFM‐CAP). Simulation results show that although the reform succeeded to partially harmonize direct payments (DP) among farms and Member States, relatively strong differences in the distribution still remain in place. Around 62% of the farms increase their income, whereas the remaining 38% lose from the reform. The reform benefits small farms, while large farms lose out. As measured by the Gini coefficient, the 2013‐CAP reform only partially reduces the disparity in the distribution of DP and farm income among farms. The Gini decomposition shows that subsidies (in particular decoupled payments) contribute to a decrease in the inequality of total farm income. The future CAP reform needs to have a stronger overhaul of the DP system in order to achieve a substantial reduction in inequality in the distribution of payments among farms and regions in EU.

AbstractWe analyze the farm‐level economic and environmental impacts of the post‐2020 reform of the Common Agricultural Policy (CAP) of the European Union, examining six scenarios constructed around the budget allocated to eco‐schemes and the stringency of enhanced conditionality. Results suggest that the CAP post‐2020 can improve environmental performance but at a cost for farms. Enhanced conditionality appears to play a greater role than eco‐schemes in delivering environmental improvements. The new CAP provides the Member States ample options to choose among different measures. The optimal policy mix will depend on the balancing of income support versus environmental performance that reflects policy priorities.

This paper analyzes the microeconomic effects of the 2013 reform of the EU's Common Agricultural Policy (CAP). This is done using the EU-wide individual farm model (IFM-CAP). Simulation results show that although the reform succeeded to partially harmonize direct payments (DP) among farms and Member States, relatively strong differences in the distribution still remain in place. Around 62% of the farms increase their income, whereas the remaining 38% lose from the reform. The reform benefits small farms, while large farms lose out. As measured by the Gini coefficient, the 2013-CAP reform only partially reduces the disparity in the distribution of DP and farm income among farms. The Gini decomposition shows that subsidies (in particular decoupled payments) contribute to a decrease in the inequality of total farm income. The future CAP reform needs to have a stronger overhaul of the DP system in order to achieve a substantial reduction in inequality in the distribution of payments among farms and regions in EU.