The Common Agricultural Policy (CAP) was fundamentally reformed in 2003. From 2005 on, farmers will receive decoupled income support payments instead of production premiums if basic standards for environment, food safety, animal health and welfare are met. Farmers will likely adjust production...

Subsidies linked to production have been classified to be environmentally harmful by OECD. A core element of the EU 2003 Common Agricultural Policy (CAP) reform is to decouple income support from production. This paper estimates the environmental consequences of this policy reform. An...

Organic farming practices have environmental benefits compared to conventional ones. Their adoption is the result of a complex interaction of intrinsic attitudes of farmers, their profit expectations and farm policy incentives. We use an agricultural sector model and develop an extended version...

Direct payments are the most important expenditure of the Common Agricultural Policy. They are mostly in the form of decoupled direct payments which are intended to be allocatively neutral. Increasing volumes of such transfers imply that distributive aspects of CAP expenditures become more...

Ambitious renewable energy targets have been implemented in the EU that can only be attained if further measures are taken to boost biomass production for energy uses on agricultural land. The aim of this discussion paper is to explore consequences for land use and environment if biomass...