Greenhouse Gas Reduction Measures in Agriculture: WEM, WAM and Sensitivity Scenarios

Macroeconomic impacts associated with regulations of the agricultural sector for the purpose of achieving climate goals are examined. Although the agricultural sector plays a subordinate economic role in the national economy, macroeconomic impacts are relevant due to the interconnections with other sectors in the food value chain and due to positive external effects or spillovers to other sectors, such as tourism. The aim of the study is not only to assess the adjustment and avoidance costs to be expected in the sector, but also to quantify the consequential effects on the national economy. The relevant variables are the effects on GDP, gross value added and employment. The effects on the self-sufficiency of agricultural goods and food are assessed as supplementary parameters.