Abstract
Identifying the crucial factor of the CAP reforms is an interesting and open question. There seems to be a controversy between two schools; one that regards external pressure from outside the EU (i.e. GATT UR and WTO) as the deciding factor and the other that regard internal pressure (i.e. budget pressure and EU enlargement). The former asserts that the CAP is persistently constructed upon the state-assisted paradigm as an extension of agricultural exceptionalism disposed at GATT UR and proposes bond schemes as the ultimate solution. The latter emphasizes a new principle, such as co-financing and decentralisation introduced by the second pillar establishment of Agenda 2000 reform in 1999, and expects that the manner of policy implementation will be taken over re-nationalisation in the course of time. The paper concludes that future picture of the CAP is uncertain but will fall into between these two perspectives.
