Interactions between CAP Agricultural and Agri‐Environmental Subsidies and Their Effects on the Uptake of Organic Farming
研究了欧盟共同农业政策两大支柱（市场支持与农村发展）的相互作用如何影响农民采纳有机农业，发现2003年改革后脱钩直接支付逆转了市场支持对有机农业的负面影响，且两类补贴对认证与非认证有机农业的影响不同。
Abstract We analyze the effects of the interactions that the two pillars of the European Union Common Agricultural Policy—market support and rural development—have on farmers' uptake of organic farming practices. Special attention is given to the 2003 reform, which substantially altered the relative importance of the two types of support by decoupling direct agricultural payments from the production of a specific crop. In our empirical analysis we study the case of Sweden, making use of the variation in the timing of farmers' decisions regarding participation in support programs. We estimate a dynamic non‐linear unobserved effects probit model to account for unobserved individual heterogeneity and state dependence. Our results indicate the existence of a negative effect of the market support system in place when organic farming techniques were adopted before the 2003 reform. However, this effect is reversed by the introduction of decoupling. Furthermore, the effects of support differ between certified and non‐certified organic production: both pillars have significant effects on non‐certified organic farming, whereas certified organic farming is exclusively driven by agro‐environmental subsidies.