Abstract
The amendments of the 2014–2020 Common Agricultural Policy (CAP) have brought about significant changes to the European farming systems. These changes have an additional impact on the Greek economy and agriculture, within a period of ongoing recession. The present study attempts to estimate economy wide potential impacts that the implementation of the reformed CAP may induce on a regional economy, employing Input-Output analysis. An endeavor is made to analyze and evaluate the impact of Pillar II measures on output, income and employment levels of the Greek region of Central Macedonia for the period of 2014–2020. A regional Input-Output model was constructed employing the GRIT along with the FLQ formula for the regionalization procedure. The results indicate that the implementation of Pillar II measures has a weak positive impact on the regional economy, both on its output and income levels.
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