Cost Structure and Integration in the Agro-food Sectors: A.

Measured by M. Theil's U index, the distance among the columns of Wassily L eontief's technical coefficients show the main differences among the processes of production. Drawn from the input-output table, the B mat rix defines the shares of the each sector output, directly and indire ctly activated by the final demand of different goods. Using the U in dex and the B matrix, the article examines the structure of costs and the degree of integration in EC agro-industrial sectors. It follows that the structural and price support policies are partially inadequa te. Copyright 1987 by Oxford University Press.