Myths and realities of the European green pool

Abstract

The article examines the prospects for a possible European Agricultural Community - and its limits. Leaving on one side the field of wishful anticipations, the author brings the problems back to the ground of definite possibilities, stresses the need of gradual action and discusses the logical sequence of the measures to be taken to reach the final object of a single market as between all the Member Countries. On this basis, a critical examination is made of those programs that require as a first step the establishment of a High Authority, vested, inter alia, with the power of fixing an average European price for the products to be covered by the Pool, and of fixing productive policies for the several countries. Lastly, the author not only reaffirms the need of a stable monetary policy, but also points out the advisability of setting up, on the one hand, an “international fund” for agricultural investments, and on the other a financial mechanism for facing the imbalances that may be expected in the economies of the Member Countries.

JEL: E52, F15, Q17, Q18