EuroChoices

Cover image for Vol. 16 Issue 3

Edited By: Professor John Davis

Online ISSN: 1746-692X

Associated Title(s): Journal of Agricultural Economics

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  1. Labour and Income Trends in EU Agriculture (pages 10–11)

    Sophia Davidova, Thia Hennessy and Ken Thomson

    Version of Record online: 18 DEC 2017 | DOI: 10.1111/1746-692X.12173

  2. The CAP and Rural Jobs (page 3)

    Sophia Davidova and Kenneth Thomson

    Version of Record online: 18 DEC 2017 | DOI: 10.1111/1746-692X.12172

  3. Value Added and Employment Growth in EU Primary Agriculture and Food Processing (pages 4–9)

    Trevor Donnellan and Kevin Hanrahan

    Version of Record online: 18 DEC 2017 | DOI: 10.1111/1746-692X.12174

    Thumbnail image of graphical abstract

    The relative economic importance of agri-food production in EU Member States is in decline. This article examines the relationship between primary and processing agri-food sectors at the Member State level in the European Union, focusing on value added and employment trends. Notable differences are observed in the performance of the agri-food sector between the Member States, and substantially different economic developments are evident in the primary and processing sectors. The agricultural and food processing sectors remained more important in the economies of the EU Member States of Central and Eastern Europe than in those of Western Europe. The composition of primary agricultural output and the associated strength of the processing sector can partially determine the growth in incomes and employment that individual Member States can hope to derive from developments in their agri-food sectors. This suggests that the agri-food sectors in individual Member States have differing future income and employment-generating capacity, and generally limited employment growth potential, with associated implications for the design of future agri-food policy.

  4. The CAP as a Job Stabiliser (pages 23–26)

    Konstadinos Mattas and Efstratios Loizou

    Version of Record online: 18 DEC 2017 | DOI: 10.1111/1746-692X.12170

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    The CAP's impact upon farm structures, farm incomes and rural development has attracted significant interest among researchers and policymakers. However, its impact upon employment levels has been studied only indirectly, and valuable inferences have been missed. Taking account of the CAP's role in and impacts on employment requires a broader approach to policy evaluation as employment changes are closely related to changes in sector activity. Besides fulfilling agro-food production and other rural objectives, the CAP should also be seen as a dynamic job-generating and maintenance tool. CAP measures, besides directly creating jobs in Pillars I and II, keep alive several farming activities which, without their support, would probably cease, with significant job losses in many regions. Moreover, the CAP, via the multiplier effect (sectoral and fiscal), creates and secures jobs in non-agro-food sectors that are crucial for regional and national economies. Furthermore, under the current dismal economic and social conditions in several EU countries not least in terms of employment levels, the CAP's mechanisms are vital. Certainly, a further careful overhaul of the CAP could enhance its power as a job-stabilising programme.

  5. How Can the CAP Promote Rural Jobs? (pages 18–21)

    Alan Matthews

    Version of Record online: 18 DEC 2017 | DOI: 10.1111/1746-692X.12176

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    Promoting rural jobs goes well beyond agricultural policy, but targeted agricultural policies can play a role. The key lesson is to invest in increasing the sector's supply of both market and non-market goods and services, recognising that the jobs created will often be in related non-farm sectors of the rural economy. Subsidising employment in low-productivity agriculture is neither a sensible nor sustainable job-creation strategy. It makes far more sense to focus on ‘smart’ agricultural support and investments which help farmers and local communities to overcome specific barriers and constraints to improve their productivity. Many investment-promoting support measures can already be provided under CAP rules today although they are often constrained by funding limitations, for example, in Member States’ Rural Development Programmes. If policymakers want the CAP to do more to maximise its contribution to jobs and growth, these productive supports should be prioritised in the coming CAP negotiations. At the same time, there should be a greater focus on the training and skill needs for the existing agricultural workforce, including paid workers who are often forgotten in farm policy discussions.

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