IDEAS home Printed from https://ideas.repec.org/a/eee/jpolmo/v37y2015i1p124-135.html
   My bibliography  Save this article

The distributional impact of agricultural policy tools on Italian farm household incomes

Author

Listed:
  • Severini, Simone
  • Tantari, Antonella

Abstract

This paper analyses the impact of a set of direct payment tools of the Common Agricultural Policy on the distribution of household income among Italian farm families. It considers a large sample of Italian farm families and applies the Gini decomposition approach. The analysis accounts for direct payments of the Pillar 1 (decoupled, coupled and modulation payments) and of the Pillar 2 of the CAP (agro-environmental and compensatory payments). While the overall amount of direct payments reduces income concentration, the situation is very different among the tools under consideration. Furthermore, the situation differs among the three altimetry zones in which the full sample has been disaggregated.

Suggested Citation

  • Severini, Simone & Tantari, Antonella, 2015. "The distributional impact of agricultural policy tools on Italian farm household incomes," Journal of Policy Modeling, Elsevier, vol. 37(1), pages 124-135.
  • Handle: RePEc:eee:jpolmo:v:37:y:2015:i:1:p:124-135
    DOI: 10.1016/j.jpolmod.2015.01.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0161893815000058
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jpolmod.2015.01.004?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Mary Keeney, 2000. "The Distributional Impact of Direct Payments on Irish Farm Incomes," Journal of Agricultural Economics, Wiley Blackwell, vol. 51(2), pages 252-265, May.
    2. El Benni, Nadja & Finger, Robert, 2013. "The effect of agricultural policy reforms on income inequality in Swiss agriculture - An analysis for valley, hill and mountain regions," Journal of Policy Modeling, Elsevier, vol. 35(4), pages 638-651.
    3. Taylor, J. Edward, 1992. "Remittances and inequality reconsidered: Direct, indirect, and intertemporal effects," Journal of Policy Modeling, Elsevier, vol. 14(2), pages 187-208, April.
    4. Catherine Moreddu, 2011. "Distribution of Support and Income in Agriculture," OECD Food, Agriculture and Fisheries Papers 46, OECD Publishing.
    5. Park, Donghyun, 2001. "Recent trends in the global distribution of income," Journal of Policy Modeling, Elsevier, vol. 23(5), pages 497-501, July.
    6. Severini, Simone & Tantari, Antonella, 2013. "The effect of the EU farm payments policy and its recent reform on farm income inequality," Journal of Policy Modeling, Elsevier, vol. 35(2), pages 212-227.
    7. Mishra, Ashok & El-Osta, Hisham & Gillespie, Jeffrey M., 2009. "Effect of agricultural policy on regional income inequality among farm households," Journal of Policy Modeling, Elsevier, vol. 31(3), pages 325-340, May.
    8. Paul Allanson, 2008. "On the Characterisation and Measurement of the Redistributive Effect of Agricultural Policy," Journal of Agricultural Economics, Wiley Blackwell, vol. 59(1), pages 169-187, February.
    9. Mary Ahearn & Jim Johnson & Roger Strickland, 1985. "The Distribution of Income and Wealth of Farm Operator Households," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 67(5), pages 1087-1094.
    10. Lerman, Robert I & Yitzhaki, Shlomo, 1985. "Income Inequality Effects by Income," The Review of Economics and Statistics, MIT Press, vol. 67(1), pages 151-156, February.
    11. Reddy, Wenkateshwar K. & Findeis, Jill L., 1987. "Decomposition Of Income Distribution Among Farm Families," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 16(2), pages 1-9, October.
    12. Gardner, Bruce L, 1992. "Changing Economic Perspectives on the Farm Problem," Journal of Economic Literature, American Economic Association, vol. 30(1), pages 62-101, March.
    13. Allanson, Paul & Rocchi, Benedetto, 2008. "A comparative analysis of the redistributive effects of agricultural policy in Tuscany and Scotland," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement (RAEStud), Institut National de la Recherche Agronomique (INRA), vol. 86(1).
    14. Ahearn, Mary & Johnson, Jim & Strickland, Roger, 1985. "The Distribution Of Income And Wealth Of Farm Operator Households," 1985 Annual Meeting, August 4-7, Ames, Iowa 278657, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Stark, Oded & Taylor, J Edward & Yitzhaki, Shlomo, 1986. "Remittances and Inequality," Economic Journal, Royal Economic Society, vol. 96(383), pages 722-740, September.
    16. Bruce L. Gardner, 1969. "Determinants of Farm Family Income Inequality," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 51(4), pages 753-769.
    17. Schmid, Erwin & Hofreither, Markus F. & Sinabell, Franz, 2006. "Impacts of CAP Instruments on the Distribution of Farm Incomes - Results for Austria," Discussion Papers DP-13-2006, University of Natural Resources and Life Sciences, Vienna, Department of Economics and Social Sciences, Institute for Sustainable Economic Development.
    18. Graham Pyatt & Chau-nan Chen & John Fei, 1980. "The Distribution of Income by Factor Components," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 95(3), pages 451-473.
    19. Simone Severini & Antonella Tantari, 2013. "The impact of agricultural policy on farm income concentration: the case of regional implementation of the CAP direct payments in Italy," Agricultural Economics, International Association of Agricultural Economists, vol. 44(3), pages 275-286, May.
    20. von Witzke, Harald & Noleppa, Steffen, 2007. "Agricultural and Trade Policy Reform and Inequality: The Distributive Effects of Direct Payments to German Farmers under the EU's New Common Agricultural Policy," Working Paper Series 10289, Humboldt University Berlin, Department of Agricultural Economics.
    21. Aristei, David & Perugini, Cristiano, 2010. "Preferences for redistribution and inequality in well-being across Europe," Journal of Policy Modeling, Elsevier, vol. 32(2), pages 176-195, March.
    22. Lee, Jong-Eun, 2006. "Inequality and globalization in Europe," Journal of Policy Modeling, Elsevier, vol. 28(7), pages 791-796, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Cortignani, R. & Coderoni, S., 2022. "The impacts of environmental and climate targets on agriculture: Policy options in Italy," Journal of Policy Modeling, Elsevier, vol. 44(6), pages 1095-1112.
    2. Sueyoshi, Toshiyuki & Qu, Jingjing & Li, Aijun & Liu, Xiaohong, 2021. "A new approach for evaluating technology inequality and diffusion barriers: The concept of efficiency Gini coefficient and its application in Chinese provinces," Energy, Elsevier, vol. 235(C).
    3. Deppermann, Andre & Offermann, Frank & Grethe, Harald, 2016. "Redistributive effects of CAP liberalisation: From the sectoral level to the single farm," Journal of Policy Modeling, Elsevier, vol. 38(1), pages 26-43.
    4. Renata Grochowska & Aleksandra Pawłowska & Aldona Skarżyńska, 2021. "Searching for more balanced distribution of direct payments among agricultural farms in the CAP post-2020," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(5), pages 181-188.
    5. Aleksandra Pawłowska & Renata Grochowska, 2021. "“Green” Transformation of the Common Agricultural Policy and Its Impact on Farm Income Disparities," Energies, MDPI, vol. 14(24), pages 1-15, December.
    6. Sadłowski, Adrian & Beluhova-Uzunova, Rositsa & Popp, József & Atanasov, Dimo & Ivanova, Boryana & Shishkova, Mariyana & Hristov, Krum, 2022. "Direct Payments Distribution Between Farmers in Selected New EU Member States," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 14(4), December.
    7. Miguel Viegas & Jan Wolf & Francisco Cordovil, 2023. "Assessment of inequality in the Common Agricultural Policy in Portugal," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-15, December.
    8. Nitta, Atomu & Yamamoto, Yasutaka & Kondo, Katsunobu & Sawauchi, Daisuke, 2020. "Direct payments to Japanese farmers: Do they reduce rice income inequality? Lessons for other Asian countries," Journal of Policy Modeling, Elsevier, vol. 42(5), pages 968-981.
    9. Irena Antošová & Naďa Hazuchová & Jana Stávková, 2021. "Income situation of agricultural households of EU countries," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(4), pages 121-128.
    10. Ciliberti, Stefano & Frascarelli, Angelo, 2015. "The role of CAP in enhancing farm incomes: the redistributive effect of direct payments in Italy," 147th Seminar, October 7-8, 2015, Sofia, Bulgaria 212244, European Association of Agricultural Economists.
    11. Kiryluk-Dryjska, Ewa & Baer-Nawrocka, Agnieszka, 2019. "Reforms of the Common Agricultural Policy of the EU: Expected results and their social acceptance," Journal of Policy Modeling, Elsevier, vol. 41(4), pages 607-622.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Severini, Simone & Tantari, Antonella, 2013. "The effect of the EU farm payments policy and its recent reform on farm income inequality," Journal of Policy Modeling, Elsevier, vol. 35(2), pages 212-227.
    2. Severini, Simone & Tantari, Antonella, 2014. "The contribution of different off-farm income sources and government payments to regional income inequality among farm households in Italy," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 3(2), pages 1-17, August.
    3. Nitta, Atomu & Yamamoto, Yasutaka & Kondo, Katsunobu & Sawauchi, Daisuke, 2020. "Direct payments to Japanese farmers: Do they reduce rice income inequality? Lessons for other Asian countries," Journal of Policy Modeling, Elsevier, vol. 42(5), pages 968-981.
    4. Severini, Simone & Tantari, A., 2012. "How direct payments and their reform have affected farm income inequality in Italy?," 2012 First Congress, June 4-5, 2012, Trento, Italy 124099, Italian Association of Agricultural and Applied Economics (AIEAA).
    5. Laurent Piet & M Benoit & V Chatellier & K. Hervé Dakpo & N Delame & Yann Desjeux & P Dupraz & M Gillot & Philippe Jeanneaux & C Laroche-Dupraz & A Ridier & E Samson & P Veysset & P Avril & C Beaudoui, 2020. "Hétérogénéité, déterminants et trajectoires du revenu des agriculteurs français," Working Papers hal-02877320, HAL.
    6. El Benni, Nadja & Finger, Robert, 2013. "The effect of agricultural policy reforms on income inequality in Swiss agriculture - An analysis for valley, hill and mountain regions," Journal of Policy Modeling, Elsevier, vol. 35(4), pages 638-651.
    7. Mishra, Ashok & El-Osta, Hisham & Gillespie, Jeffrey M., 2009. "Effect of agricultural policy on regional income inequality among farm households," Journal of Policy Modeling, Elsevier, vol. 31(3), pages 325-340, May.
    8. Stefano Ciliberti & Angelo Frascarelli, 2018. "The CAP 2013 reform of direct payments: redistributive effects and impacts on farm income concentration in Italy," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-18, December.
    9. Ciliberti, Stefano & Frascarelli, Angelo, 2015. "The role of CAP in enhancing farm incomes: the redistributive effect of direct payments in Italy," 147th Seminar, October 7-8, 2015, Sofia, Bulgaria 212244, European Association of Agricultural Economists.
    10. Deppermann, Andre & Grethe, Harald & Offermann, Frank, 2011. "Distributional Effects of the CAP on Western German Farm Incomes and Regional Farm Income Disparity," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114442, European Association of Agricultural Economists.
    11. Severini, Simone & Tantari, Antonella, 2014. "How do different off-farm income sources affect income inequality among farm households?," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182843, European Association of Agricultural Economists.
    12. Sahrbacher, Amanda, 2012. "Impacts of CAP reforms on farm structures and performance disparities: An agent-based approach," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 65, number 65.
    13. Deppermann, Andre & Offermann, Frank & Grethe, Harald, 2016. "Redistributive effects of CAP liberalisation: From the sectoral level to the single farm," Journal of Policy Modeling, Elsevier, vol. 38(1), pages 26-43.
    14. S. Severini & A. Tantari, 2015. "Which factors affect the distribution of direct payments among farmers in the EU Member States?," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 42(1), pages 25-48, February.
    15. Simone Severini & Giuliano Di Tommaso & Robert Finger, 2019. "Effects of the Income Stabilization Tool on farm income level, variability and concentration in Italian agriculture," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 7(1), pages 1-22, December.
    16. Boisvert, Richard N. & Ranney, Christine K., 1990. "Accounting For The Importance Of Nonfarm Income On Farm Family Income Inequality In New York," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 19(1), pages 1-11, April.
    17. O'Neill,Stephen & Loughrey, Jason & Hynes, Stephen & O'Donoghue, Cathal & Hanrahan, Kevin, 2017. "The Redistributive Impact of EU Farm Payment Reforms in the UK and Ireland," 2017 International Congress, August 28-September 1, 2017, Parma, Italy 261107, European Association of Agricultural Economists.
    18. Ryszard Kata & Małgorzata Wosiek, 2020. "Inequality of Income in Agricultural Holdings in Poland in the Context of Sustainable Agricultural Development," Sustainability, MDPI, vol. 12(12), pages 1-16, June.
    19. El-Osta, Hisham S. & Morehart, Mitchell J., 2009. "Welfare Decomposition in the Context of the Life Cycle of Farm Operators: What Does a National Survey Reveal?," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 38(2), pages 1-17, October.
    20. El-Osta, Hisham & Ahearn, Mary C., 1991. "A Regional Analysis of the Role of Off-Farm Income in the Size Distribution of Personal Income," WAEA/ WFEA Conference Archive (1929-1995) 321421, Western Agricultural Economics Association.

    More about this item

    Keywords

    Farm household income; Income inequality; Common agricultural policy; Direct payments; Disaggregation of the Gini coefficient;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jpolmo:v:37:y:2015:i:1:p:124-135. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/505735 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.