Micro-economic analysis of alternative policies for Dutch dairy farming

摘要: The dairy sector is to a large extent influenced and restricted by environmental agricultural policies. These policies are often very detailed in nature oriented at the farm level. That is, policy measures regulations, such as taxes support payments depend on local circumstances management. Dairy farmers constantly face minor major changes, causing farm-specific uncertainties adjustments production. This thesis aims quantify effects of specific production decisions profit individual Dutch farms. Thus, behaviour response changes main focus here. An empirical economic model farming developed applied determine changes. It assumed that react differently especially because become increasingly farm-specific. micro-economic presented this flexible tool show short-term farms approach combining historical information technology with future or new suitable for analysing supply constraint, enforced milk quota regime, combined price border protection measures, play central role policy. efficiency trade distortions analysed. alternative EU analysed two-tier system, abolition, Agenda 2000 reform, which include increases, cuts compensating premiums. Moreover, phosphate surplus taxes, relation demand farmland, investigated. Distortions caused limits amount can be traded according regulations. Costs related transaction services middleman notary less visible. Both types simulated compared unconstrained trade. Efficiency gains obtained if restrictions removed. However, protect small they gain more from than In system free trade, B-milk will produced world market higher industries' average marginal costs producing A-milk. most efficient produce instead buying A-quota. reform results loss profits, mainly due decrease prices. proposed direct payment per tonne initial only compensates 52 cent loss. If quotas were abolished, increases current costs. profits decrease, asking payments. At 0.60 guilders kg, necessary compensation case abolishment smaller case, while higher. disadvantages 2000, i.e. increased budget insufficiency meet WTO (World Trade Organisation) demands, complemented strong negative income farmers. farmer guaranteed it serves some flexibility (partly giving demands). burden government probably lower support, export subsidies lower. Quota abolition an point view, still attractive (although highly dependent market) but freedom could outweigh disadvantage. fact did not opt has do fear rise would increase problems lead weakened financial position their lose value. tax effective instrument reduce manure surpluses farming. order avoid paying tax, input livestock. opportunity attract additional land impact reduction. farm, purchasing offsets profit. Introducing farmland therefore equilibrium situation without tax.