Agricultural land in the new EU countries: are there any consequences to the acceptance of the CAP?

摘要

The eight New Member States of the EU (NMS-8) display a development deficit as compared to the 'old' EU countries. This is also expressed in the form of low per capita Gross Domestic Product (GDP) and in price levels that are far below those of the EU-15 countries. Over the past few years this situation has not undergone any fundamental changes (Table 1). The prices of agricultural land in the NMS, converted into euro, fit in perfectly with the general picture: they too, with the exception of Slovenia, are lower than those in the EU-15. The exchange rates are the reason for price levels in the EU-15 being higher than in the NMS. In addition, the Common Agricultural Policy (CAP) of the EU, with direct payments per area unit, contributes to the higher land prices in the EU-15.