Environmental Policies and their Impact on Farms in Europe

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The purpose of this study is to investigate the development of agri-environmental policies and their influences on farms in Western Europe. Research was conducted from Southern to Northern Europe including Italy, Germany, Denmark, Norway and Sweden. In Norway, where population density and the ratio of agricultural land to total land are low, the environmental pollution caused by agriculture is not taken as seriously as in the other countries. Therefore, the emphasis of agri-environmental policies is placed on direct payments, which are used to sustain agriculture in less-favored areas, rather than regulating the use of input materials. On the other hand, in Denmark, where the ratio of agricultural land to total land is over 60%, quantitative and qualitative limits were placed on Nitrogen/Phosphorous discharge, rather than environmental taxes, in order to reduce the level of agricultural pollution. The policy choices were also examined using economic theory. In Sweden the movement for environmental protection is very strong, resulting in strict regulations. This situation is double-sided. On one side production costs become higher, but on the other hand the marketing benefits of having the cleanest agriculture in the world' are significant. In Germany, agricultural regulations were interpreted in reference to the Recycling Law. Focus was placed on ground water protection, while analyzing how regulations should be adapted down from EU, to State and finally to local level. In Italy, farmhouse accommodation was analyzed as a strategy for sustainable rural development. It was found that the structure of the farm determined the type of accommodation possible. Finally, intensity of land usage and multifunction of agriculture were examined from an economical, ecological and a social point of view, resulting in an analysis of the relative technical progress and appearance of the landscape.