Agricultural policy in Europe: an experiment on economic, social and ecological sustainability

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In peasant society, agriculture was the main economic activity, but the farmers also performed many other tasks: farming was multifunctional by nature. But, with modernization, farming has become ‘just’ one occupation amongst many others. At the individual level, this structural differentiation is visible in the growing specialization of labour and scale enlargement. Many smaller farms have had to close down, while the size and productivity of the remaining farms has increased. Higher yields, efficient management, and increasing external inputs have all contributed to an increase in productivity (Luttik and van der Ploeg, 2004). However, after a period of only focusing on output levels, the socalled productivism period, now a more balanced way of agricultural production is sought. The new farming context, with a variety of goals and actions, is bringing about a more diversified use of rural areas, somewhat similar to the use of rural areas before the productivism period, but with a less significant role for the agricultural sector (see Wilson, 2001). Increasing leisure time and greater mobility of residents is generating a higher number of visits to rural areas. As well as that, environmental quality attracts residents who want to live in the countryside. The renewed awareness of the value of nature, culture, and landscapes is encouraging the conservation of these elements. However, it is mainly in the developed regions, that much of the debate about the agricultural sector focuses on agriculture’s ability to produce joint products. In developing countries, it is much less an option to enjoy non-production benefits from the agricultural sector. The most important reason for this is food security and the role of agriculture in alleviating poverty (van Leeuwen, 2010). All in all, we can distinguish between three main tracks of agricultural development: 1. Modern, large scale agriculture: an industrial way of agricultural production in which the focus is on producing food and fiber in an efficient way. This requires a high level of technological innovation and knowledge. 2. Modern, small scale agriculture: a more balanced way of producing high quality products and additional (environmental or social) services. It is a knowledge intensive and often also ICT intensive way of producing. Agricultural policy in Europe: an experiment on economic, social and ecological sustainability Peter Nijkamp Eveline van Leeuwen