Ideas, Paradigms and Institutions: Agricultural Exceptionalism in the European Union and the United States

The differing trajectory of agricultural policy reforms in the 1990s in the world's two most important agricultural powers, the United States and the European Community/Union (EC/EU), can only be fully understood by appreciating the role that ideas play in policy outcomes. The idea of agricultural exceptionalism underwrote a paradigm of state assistance in the US and the EC/EU. By the mid-1980s, the state assistance paradigm was under stress, and subject to a number of anomalies in both the US and the EC. But while the paradigm was overthrown and replaced with a market liberal model in the US grain sector in the 1990s, it remained intact in the European Union. Explaining why agricultural exceptionalism and the state assistance paradigm has endured in the EU while it has withered in the US highlights three factors: the importance of the political institutional framework in locking in—or not—policy principles and instruments; the degree of fit of a sectoral policy paradigm with the broader societal ideational framework regarding appropriate relations between the state, the market, and the individual; and the capacity of a paradigm to adjust in the face of challenges and anomalies.