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Impacts of the EU's Common Agricultural Policy “Greening” Reform on Agricultural Development, Biodiversity, and Ecosystem Services
Author(s) -
Hristov Jordan,
Clough Yann,
Sahlin Ullrika,
Smith Henrik G.,
Stjernman Martin,
Olsson Ola,
Sahrbacher Amanda,
Brady Mark V.
Publication year - 2020
Publication title -
applied economic perspectives and policy
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.4
H-Index - 49
eISSN - 2040-5804
pISSN - 2040-5790
DOI - 10.1002/aepp.13037
Subject(s) - common agricultural policy , greening , ecosystem services , agriculture , biodiversity , direct payments , business , natural resource economics , payment , environmental resource management , agricultural policy , payment for ecosystem services , ecosystem , environmental planning , economics , geography , ecology , archaeology , finance , biology
The EU's Common Agricultural Policy (CAP) has had limited success in mitigating agriculture's environmental degradation. In this paper we simulate the impacts of the 2013 “greening” reform on biodiversity and ecosystem services in environmentally contrasting landscapes. We do this by integrating an agent‐based model of structural change with spatial ecological production functions, and show that the reform will likely fail to deliver substantial environmental benefits. Our study implies that greening measures need to be tailored to local conditions and priorities, to generate environmental improvements. Such spatial targeting of measures is though incompatible with the design of a common direct payments scheme.