Modelling policies for multifunctional agriculture and rural development – a norwegian case study

Abstract This paper outlines the development and use of a simulation model designed to analyse multifunctional agriculture and rural development policy. The model was the core of the EU research project, TOP‐MARD (Towards a Policy Model for Multifunctional Agriculture and Rural Development). The TOP‐MARD project explored ways in which both market and non‐market ‘functions’ of agriculture and farm households interact with the process of economic development and the quality of life in a variety of rural territories, and how different kinds of policy influence these relationships. A model was developed in common between 11 European research partners and then adapted to the 11 study regions. In this paper the model is applied to the Norwegian study region, Hordaland County. The study concludes that reducing agricultural subsidies can lead to improvements in regional economic performance by releasing labour and capital to uses with higher returns and by creating positive feedback to the economy by improving environmental quality and overall quality of life. Copyright © 2010 John Wiley & Sons, Ltd and ERP Environment.