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On Why Rates Of Assistance Differ Between Australia'S Rural Industries

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Author Info

  • Anderson, Kym

Abstract

An economic theory of politics is applied to the question of why there are large differences in effective rates of assistance to Australia's rural industries. It is suggested that a major part of the explanation is the different incentives faced by industry lobby groups to demand assistance and by the government to supply assistance. Various determinants of the incentives to demand and supply assistance are hypothesized, and these hypotheses are tested against the existing pattern of rural assistance. The evidence generally supports the hypotheses, and suggests some policy changes to reduce existing government distortions.

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File URL: http://purl.umn.edu/22723
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Bibliographic Info

Article provided by Australian Agricultural and Resource Economics Society in its journal Australian Journal of Agricultural Economics.

Volume (Year): 22 (1978)
Issue (Month): 02-03 ()
Pages:

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Handle: RePEc:ags:ajaeau:22723

Contact details of provider:
Postal: AARES Central Office Manager, Crawford School of Public Policy, ANU, Canberra ACT 0200
Phone: 0409 032 338
Email:
Web page: http://www.aares.info/
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Related research

Keywords: Community/Rural/Urban Development;

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References

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  1. Jones, Ronald W., 1975. "Income distribution and effective protection in a multicommodity trade model," Journal of Economic Theory, Elsevier, vol. 11(1), pages 1-15, August.
  2. Campbell, Keith O., 1966. "Australian Farm Organizations And Agricultural Policy," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 10(02), December.
  3. Pincus, J J, 1975. "Pressure Groups and the Pattern of Tariffs," Journal of Political Economy, University of Chicago Press, vol. 83(4), pages 757-78, August.
  4. Mayer, Wolfgang, 1974. "Short-Run and Long-Run Equilibrium for a Small Open Economy," Journal of Political Economy, University of Chicago Press, vol. 82(5), pages 955-67, Sept./Oct.
  5. Schultz, Theodore W, 1975. "The Value of the Ability to Deal with Disequilibria," Journal of Economic Literature, American Economic Association, vol. 13(3), pages 827-46, September.
  6. Richard E. Caves, 1976. "Economic Models of Political Choice: Canada's Tariff Structure," Canadian Journal of Economics, Canadian Economics Association, vol. 9(2), pages 278-300, May.
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Citations

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Cited by:
  1. Harris, Stuart, 1979. "The Case Against Tariff Compensation: A Comment," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 23(02), August.
  2. Martin, William J., 1990. "Public Choice Theory And Australian Agricultural Policy Reform," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 34(03), December.
  3. Peter G. Warr, 1978. "The Case Against Tariff Compensation," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 22(2-3), pages 85-98, 08-12.
  4. Greenville, Jared W. & MacAulay, T. Gordon, 2004. "Tariffs and Steel: The US Safeguard Actions," 2004 Conference (48th), February 11-13, 2004, Melbourne, Australia 58452, Australian Agricultural and Resource Economics Society.
  5. Joseph F. Francois & Will Martin, 1998. "Commercial Policy Uncertainty, the Expected Cost of Protection, and Market Access," Tinbergen Institute Discussion Papers 98-059/2, Tinbergen Institute.
  6. Anderson, Kym & Lattimore, Ralph G. & Lloyd, Peter J. & MacLaren, Donald, 2008. "Distortions to Agricultural Incentives in Australia and New Zealand," Agricultural Distortions Working Paper 48387, World Bank.
  7. Haynes, J.E., 1985. "Rural Assistance Levels: The Influence Of Policies And World Price Changes," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 29(01), April.

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