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Common Agriculture Police in the EU, direct payments, solvency and income

We employ agriculture data for all twenty-eight EU Member States. The data comes from the public Farm Accountancy Data Network (FADN) of the EU. In terms of methodology we employ panel regression and panel Vector Autoregression analysis (panel VAR) to take into account possible endogeneity issues.

The reported panel regressions, impulse response functions (IRFs) and variance decompositions (VDCs) show that agriculture income has been subdued due to negative shocks in direct payments and solvency. Our results do not support the hypothesis that higher direct payments would increase agriculture income. In addition, whilst solvency subdues agriculture income, investment asserts a positive impact on agriculture income.

Further research on the impact of direct payments of CAP on EU agriculture is warranted at a disaggregate level so as to examine whether there is variability in the underlying interlinkages at regional level

As a policy implication, and in light of the ongoing reform of the EU's CAP, we would propose to raise net value added in agriculture using targeted income support to small and medium-sized farms. The European Economic Recovery Plan (EERP) would be also supportive. In addition, further enhancing financial integration across the EU would provide funds for investment in agriculture.

As social implication, one would propose to raise investment in agriculture, that is through the European Economic Recovery Plan (EERP). The EERP is designed as a stimulus package set up to mitigate the consequences of the global financial crisis in the EU. Also, a way to boost agriculture income is through the credit channel of the on-going quantitative easing of the ECB, where unconventional monetary policy is aiming to support the growth prospect of the Euro area.

This study examines the impact of direct payments, which include all subsidies, of the EU's Common Agriculture Policy (CAP) on agriculture income as measured by the net value added. We also control for solvency. Despite the magnitude of CAP on the EU budget, few studies investigate the impact of direct payments on income in the aftermath of the financial crisis. This is surprising given the importance of agriculture for the economic recovery of the EU that remains anaemic more than a decade after the crisis.

This paper presents estimates of total personal income for every U.S state in 1880, 1890, 1900, and 1910. The series includes new figures for 1890 and 1910, and revisions of Richard Easterlin's (1960) figures for 1880 and 1900 based on recent economic history research. The new estimates allow better examination of U.S. interregional income differences and cyclical behavior of U.S. states’ total personal income.

The purpose of this paper is to estimate the determinants of rural and national poverty, of income distribution, and of agricultural growth in developing countries.

Data for all variables are from the 2008 World Development Report. The author applies the least‐squares estimation technique in a multivariate linear regression.

It is found, from different size samples, that: the percentage of the rural population living below the national rural poverty line in a developing country is dependent upon the logarithm of per capita purchasing power parity gross national income and the region in which it is located; it linearly depends on its per capita agriculture value added and its geographic location; agriculture value added growth linearly depends on the share of women in the agricultural labor force, whether the developing country is agriculture‐based, and whether it is located in Europe or Central Asia; and agricultural productivity linearly depends on the amount of arable and permanent cropland per agricultural person, the share of women in the agricultural labor force, and the share of agricultural employment in total employment.

Statistical results in this paper will assist governments in developing countries assess the magnitude of agricultural policy variables in an effort to use agriculture as an engine for economic development.

Within an effort of European Union (EU) policy to achieve carbon-neutral agriculture, the present study intends to explore the impact of carbon emissions generated by different sources related to agriculture namely energy used in farming, by enteric fermentation and by fertilizers on agricultural income in 25 countries from EU.

In order to evaluate the environmental – economic performance linkage for EU agriculture, we employ a couple of different widely used panel unit root tests explicitly Levin, Li and Chu, Im, Pesaran and Shin, ADF and PP Fisher Chi-square test cointegration test (Pedroni and Kao cointegration tests) and model estimation methodologies namely the FMOLS and DOLS and ARDL – PMG models.

All the cointegration techniques employed namely Pedroni, Kao test and Johansen Pesaran cointegration tests validate the existence of long run relationships. The most significant finding is the model estimation based on three different methodologies namely FMOLS, DOLS and ARDL/PMG models. No convergence in the results was found by different estimation models. For the short term coefficients and more specifically for the case of carbon emissions generated by energy the impact on agricultural income seems to be decreasing with a decreasing trend, a result that validates the little effort made by farmers to limit carbon emissions along with the limited efficacy of the implementing policy. The same findings are valid for the first two estimation models while for the case of the third model the reversed relationship is validated. For the carbon emissions generated by enteric fermentation, the inverted-U pattern is validated with DOLS and ARDL/PMG model while for the case of fertilizers only the third model confirms the validity of inverted-U- pattern.

Based on the obtained empirical results, a list of policy implications is unveiled with multiple impacts on the strategy and practices adopted by farmers in order for the objective of eco efficieny to be achieved.

The conducted research is focusing on the environmental – economic performance linkages for EU agriculture and examines the role of agri – environmental policy in the evolution of the particular relationship for different sources of environmental pollution in agricultural activity.

The present study aims at examining the determinants of occupational migration of unskilled labourer from domestic agriculture and their impact on farm business income (FBI) in Assam, India.

Primary data for this study were collected during June–November, 2019 from 224 farm (cultivator) households in two contiguous districts in central Brahmaputra valley of Assam. The study used three-stage least square (3SLS) estimation technique for jointly determining the factors influencing migration and remittances and their impact on FBI.

The result of this study confirms that occupational migration of unskilled labourer from domestic agriculture significantly reduced household FBI. In contrast to the inflow of remittances from migrants helped in increasing the FBI. The migration in the study area considerably influenced by household size, total value of assets holding, networking influence, distance to commercial bank and flood proneness of the village; while the number of migrants, number of dependents and age of migrants seen to be strong predictor of inflow of remittances. Findings of present study offer evidence in support of the new economics of labour migration (NELM) theory.

The study is restricted to a single crop (paddy) and constrained by the collection of longitudinal data with a revisit to the farm household pre and post-migration of the unskilled labourer from household agriculture.

This paper is based on a novel data set that has especially been collected to examine the determinants of occupational migration from agriculture and their impact on the FBI in Assam that has not been studied before.

Emerging evidence revealed a high rate of dependence of marginal people on forest resources in developing countries for both subsistence use and cash income. The purpose of this paper is to examine the rural livelihoods welfare dimensions of community forest income in south-western Nigeria.

Forest activities and income pattern data were collected from 160 rural households’ selected using multistage sampling approach. Descriptive statistics and Gini decomposition technique were used to analyse the data.

The result shows that forest income accounts for about 38.2 per cent of total household income and was the first ranked source of income in the study area. The Gini decomposition analysis showed that access to forest income is income inequality reducing in the study area. The study findings suggests that household welfare in rural Nigeria could be improved through policies and programmes that can stimulate sustainable access to forest resources and assist households to earn income from alternative sources such as agriculture.

The result of the study helped provide information on the uses and benefits of community forests as it affects the well-being of rural people. Also, it provides the benchmark for policy makers, government agencies and NGO's involved in rural livelihood outcome of forest communities.

Islam prohibits interest as a source of income or profit. The purpose of this paper is to explore the possible application of Bai Salam contract (forward sale agreement) as an alternative financial instrument in the agriculture sector of Pakistan.

A survey was conducted in four districts of the Punjab with a specifically designed questionnaire. A convenient sampling technique was used to gather farmers' concerns related to crops inputs, output and credit requirements.

Empirical findings conclude that agriculture income represents only up to 60 percent of the income of an average farm household. About 70 percent of farmers participate in the credit market. They need money to purchase crops inputs, to pay the labour and to hire rental machinery. Farmers believe that they can save up to 25 percent in costs if they purchase inputs on cash. The survey also discloses that middlemen are the larger financers and buyers of crops in the rural economy whereby only 10 percent of transactions are conducted on a purely cash basis. Farmers usually return the money after the sale of the crop.

The concept of the paper can be extended to areas where large landlords dominate the scene. Alternatively, it can be extended towards non‐farm activities such as cattle raising and poultry.

The paper is a first comprehensive effort to explore the possible application of an Islamic banking instrument in the agriculture sector of Pakistan. It also suggests three possible models for financing under a Bai Salam contract. Some policy recommendations are also given.

In the developing world, the adoption of new technology in agriculture has emerged as a tool to address the problem of investment-disincentive effect of capital investment on smallholders. In Indian agriculture, which is dominated by smallholders, technological adoption becomes very essential. In this regard, along with the government, local level organizations also provide training and other support to adopt the new agricultural technique. The present study is an attempt to assess the counterfactual impact of this sort of initiative in the context of Bihar, a state in India.

The study uses field survey data which are collected from the Gaya district of Bihar. Overall, 249 sample farmers are surveyed from 23 villages of four blocks of the Gaya district. There are two groups of selected farmers: treatment and control groups. Farmers who adopted the new technique belong to the treatment group, and otherwise, the control group. For analytical purpose, a propensity score matching method has been used to estimate the counterfactual impact of the adoption of the new technique of farming on farmers' agricultural income.

The study observes a significant improvement in the agricultural income of the farmers who adopted the new technique. New agricultural techniques, propagated through the local level organization, might be instrumental to enhance farmer's skill as well as income.

This type of approach may be adopted, complementary to the government's extension initiative to enhance farmers' income through adoption of the advanced farming process, as well as to improve the human capital of agriculture production.

The study laid a framework of assessing the counterfactual impact of intervention of local level organization and adoption of new farming techniques in the context of Bihar, India.

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-09-2022-0606

This paper aims to investigate the effect of rural-urban income gap on agricultural growth in China and its dynamics over time and across regions since reform and opening up.

Two types of indices are constructed to measure the rural-urban income gap: the intra-provincial index and the inter-provincial index. A provincial panel data from 1978 to 2010 and growth accounting method are used to estimate the size of the adverse effect of rural-urban income gap on agricultural growth in China.

The empirical results show that both indices of rural-urban income gaps are negatively associated with agriculture output, but the inter-provincial rural-urban income gap produces a larger adverse effect than the intra-provincial rural-urban income gap. Growth accounting analysis further shows that such adverse effects are decreasing over time and are larger in the central provinces. The results represent resource diversion effects of rural-urban income gap on agriculture.

This paper bridges the gap in existing literature on the relationship between sectoral income gaps and agricultural growth, which confirms Schultz's argument that agricultural activities are efficient even in developing countries and the rural resources diverted out by income gap are not surplus. The results imply that equalized rural-urban and regional policies are required to maintain sustainable agricultural growth in China.