Positive multi-criteria models in agriculture for energy and environmental policy analysis

Environmental consciousness and accompanying actions have been paralleled by the evolution of multi-criteria methods which have provided tools to assist policy makers in discovering compromises in order to muddle through. This paper recalls the development of multi-criteria methods in agriculture, focusing on their contribution to produce input or output functions useful for environmental and/or energy policy. Response curves generated by MC models can more accurately predict farmers’ response to market and policy parameters compared with classic profit maximizing behavior. Concrete examples from recent literature illustrate the above statements and ideas for further research are provided.