Poverty, Inequality, And Agriculture In The EU

Abstract

The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the views of the International Bank for Reconstruction and Development/World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent.

Evolving the Common Agricultural Policy for Tomorrow's Challenges

“…In contrast, in Western European countries (Austria, France, Germany, Ireland, the UK) but also in Poland, Hungary, and Slovakia, the amounts per region are negatively correlated with poverty rates. Finally, and despite the heterogeneity of CAP budget allocations between and within MS, Azevedo et al (2018) highlight a positive impact of the CAP on poverty reduction, notably through second pillar measures. Increasing farm incomes and improving employment and living conditions in agriculture supported by CAP measures lead to poverty reduction in regions where high poverty rates and a high share of agriculture in the regional economy are often combined.…”

“…Looking at the effects of the CAP on another crucial dimension of economic and social development, that is, the reduction of inequalities, Azevedo et al (2018) show that CAP funds are often but not systematically directed towards the regions where poverty is most prevalent. Within each MS, these funds go to their most deprived regions in the countries of Southern Europe (Spain, Portugal, Greece, Italy) and Central Europe (Romania, Bulgaria, Slovenia).…”