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Common Budget


This refers to the pool of funds available to the European Commission of the common market, principally for intervention necessary to support the common agricultural policy. It was established by agreement between member countries and was to be funded by money collected through levies raised to enforce the common price structure - particularly in connection with farm prices. It is supplemented by customs duties payable on imported industrial goods plus an agreed proportion of the value added tax receipts of the member countries. The money is used almost entirely to run the Common Agricultural Policy.

Reference: The Penguin Business Dictionary, 3rd edt.