Dundee Discussion Papers in Economics 093: On the comparative evaluation of agricultural income distributions in the European Union

The paper reports a set of operational rules for ranking income distributions that could be used, given appropriate data, to address a range of policy issues concerning the economic welfare of the agricultural community, the comparability of agricultural and non-agricultural incomes, and the extent and depth of poverty in farming. The rules are based on stochastic dominance procedures and are consistent with social preferences for higher incomes and a more equal distribution of income. Their application is illustrated by means of a comparative analysis of the farm family income situation in the member states of the European Union based on FADN data.