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Employment Effects of the CAP in Italian Agriculture: Territorial Diversity and Policy Effectiveness

Mantino, Francesco
EuroChoices 2017 v.16 no.3 pp. 12-17
agri-environmental policy, cohesion, employment, farms, food production, rural development, sustainable land management, Italy
The objectives of this article are to provide insights on the employment impacts of CAP measures in Italian agriculture over the period 2007–14, and to explore the diversity of these impacts in four types of area. The main policy tools of the First Pillar have debatable impacts on agricultural employment in all area types, although they were not specifically designed to create jobs but to ensure food production and socio‐environmentally sustainable land management practices. Second Pillar measures bring positive and significant rural development effects to the areas of Italy studied, but these effects differ according to the type of measure: farm and agro‐industrial investment support generates higher employment effects than measures for the agri‐environment, less favoured areas, or rural diversification. The intensity of these effects is higher in those areas where conditions for development are more favourable. They still have positive effects in Peripheral Areas, but the cost of creating new jobs in such areas is higher. It can be argued that we need a more flexible CAP, capable of fitting diverse territorial needs, and strengthened by rules of policy design and implementation more oriented towards the pursuit of territorial cohesion.