This study presents a general model demonstrating how to measure the (in)efficiency of a policy intended to meet objectives. If it is assumed that the government has available only those policy instruments it actually utilizes, our method is a test as to whether the government combines these...

In developed countries governments aim to increase the market share of organic products. Assuming that organic farming creates a positive externality, we address the question of how this environmental benefit can be internalized best. Using the concept of heterogeneous producers and consumers we...

This survey provides a structured picture of 40 years of literature which uses welfare economic tools to judge agricultural policy. Challenges and developments of normative agricultural policy analysis are discussed in an easily accessible graphical framework. It is shown how the literature has...

The study evaluates the efficiency of government intervention using a vertical structured model including imperfectly competitive agricultural input markets, the bread grains market, and the imperfectly competitive food industry. The actually observed policy is compared to a hypothetical optimal...

The paper presents a theory of policy timing that relies on uncertainty and transaction costs to explain the optimal timing and length of policy reforms. Delaying reforms resolves some uncertainty by gaining valuable information and saves transaction costs. Implementing reforms without waiting...

Factor Markets Coordination: Centre for European Policy Studies (CEPS), Brussels, Belgium

Positive political economy is usually concerned with economic explanations of observed policy choices, while the timing of a policy reform has not gained similar attention. This is somewhat surprising since policy makers most often are free to decide both the design and timing of a policy...

We empirically analyze 7,300 agricultural land sales transactions in 2001 and 2007 to identify factors influencing agricultural land sales prices in Bavaria. To account for the importance of space in land markets, we utilize a general spatial model including a spatial lag and a spatial error....

In developed countries governments aim to increase the market share of organic products. Assuming that organic farming creates a positive externality, we address the question of how this environmental benefit can be internalized best. Using the concept of heterogeneous producers and consumers we...