«Decoupling» agricultural support: An international perspective
Keywords:Decoupling, Common Agricultural Policy, OECD countries
AbstractThe evolution of the Common Agricultural Policy (CAP) from price support to payments that are more decoupled from production is part of a broader international context in which other OECD countries have also reformed in a similar direction. This paper explains the meaning of «decoupling» from the legal perspective of the World Trade Organization (WTO), and from a more empirical approach as the one adopted by the OECD work on decoupling. The main arguments in favour of decoupling "”both from efficiency and distribution considerations"” are discussed and the scope of the reforms in different OECD countries is analyzed. Finally it is argued that a good definition of the objectives is needed in order to design the most appropriate policies.
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