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© 1998 Oxford University Press and the Foundation for the European Review of Agricultural Economics

research-article

Restricting intensive livestock production: Economic effects of mineral policy in The Netherlands

M.H.C. KOMEN and J.H.M. PEERLINGS*

Department of Economics and Management, Wageningen Agricultural University Hollandseweg 1, 6706 KN Wageningen, The Netherlands

Received May 1, 1997;

Summary

This paper examines the effects for the Dutch economy of a reduction in livestock production using an applied general equilibrium model. A reduction is seen as a possible solution to the environmental problems linked with the excess supply of minerals to the environment. Results show that a decrease in pig and poultry production to achieve a maximum permitted phosphate loss of 30 kg/ha will decrease income of pig and poultry farming by 2.6 and 1.0 per cent, respectively. The compound feed, pig meat and poultry meat industry are seriously affected. Trade shows a reduction in net exports of livestock and meat and net imports of feed stuffs

Keywords: applied general equilibrium model, environmental policy, mineral surplus, intensive livestock farming


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