Global Impacts of European Agricultural and Biofuel Policies

Abstract

Food supply and food distribution have been and are important issues in the global political arena. The recent emergence of biofuel policies has increased the influence of the policy arena on agricultural production. In this paper we show the regional impact of changes in the European Common Agricultural Policy and biofuel policy. Shifting trade patterns, changes in agricultural production, and expansion of agricultural area or intensification of agriculture result in changes in land use and land use emissions. Higher prices for agricultural crops on the world market together with changing production raise agricultural income. Brazil is the region the most affected. The results show that arrangements or policies will be needed to avoid negative impacts in other regions of changing agricultural or biofuel policies in the European Union.

Keywords

• agricultural income
• biodiversity
• biofuels
• CAP reform
• land use