Greek cotton farmers' supply response to partial decoupling of subsidies
- Résumé
- A mathematical programming model based on a countrywide sample of farms is used to assess the impacts of the new C.A.P on the supply of the cotton sector in Greece. Results show a decrease in cotton cultivated area along with the introduction of a new production system called %u201Csemi-abandonment cotton%u201D. Farm income is practically unchanged, largely due to the decoupled payments. When these payments are not considered, farm income turns negative in some cases, thus leading towards abandonment of activities.