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Agricultural Policies of Industrial Countries and their Effects on Traditional Food Exporters

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  • KYM ANDERSON
  • ROD TYERS

Abstract

A multi‐commodity model of world food markets is used to quantify the adverse impact of agricultural policies in Western Europe and East Asia on farmer welfare in Australasia and North America. The results suggest that net farm incomes for these traditional food exporters would be one‐third greater than in the absence of protectionism in other industrial countries. For Australian farmers this represents as much as A$30 000 per farm, or more than three times as much as the adverse impact on them of Australia's manufacturing protection. Econometric analysis suggests that agricultural protectionism is likely to continue to grow as per capita incomes and agricultural comparative disadvantage increase in industrial countries.

Suggested Citation

  • Kym Anderson & Rod Tyers, 1986. "Agricultural Policies of Industrial Countries and their Effects on Traditional Food Exporters," The Economic Record, The Economic Society of Australia, vol. 62(4), pages 385-399, December.
    • Handle: RePEc:bla:ecorec:v:62:y:1986:i:4:p:385-399
    DOI: 10.1111/j.1475-4932.1986.tb00905.x
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    References listed on IDEAS

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    1. Tyers, Rodney, 1985. "International Impacts of protection: model structure and results for FC agricultural policy," Journal of Policy Modeling, Elsevier, vol. 7(2), pages 219-251.
    2. Corden, W. M., 1971. "The substitution problem in the theory of effective protection," Journal of International Economics, Elsevier, vol. 1(1), pages 37-57, February.
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    Cited by:

    1. Langhammer, Rolf J. & Hiemenz, Ulrich, 1990. "Regional integration among developing countries: opportunities, obstacles and options," Open Access Publications from Kiel Institute for the World Economy 416, Kiel Institute for the World Economy (IfW Kiel).
    2. Johnston, B. G., 1990. "Targeting Australian Agricultural Policies For Trade Liberalization," Staff Reports 278342, United States Department of Agriculture, Economic Research Service.
    3. Mark Horridge & David Pearce & Agnes Walker, 1990. "World Agricultural Trade Reform: Implications for Australia," The Economic Record, The Economic Society of Australia, vol. 66(3), pages 235-248, September.
    4. Fraser, Rob W., 1988. "A Method For Evaluating Supply Response To Price Underwriting," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 32(1), pages 1-15, April.
    5. Kym Anderson, 2020. "Trade Protectionism In Australia: Its Growth And Dismantling," Journal of Economic Surveys, Wiley Blackwell, vol. 34(5), pages 1044-1067, December.
    6. Kilkenny, Maureen, 1991. "The "30-30-30 Proposal": CGE Simulation of Unilateral Compliance by the USA to Partial Trade Liberalization," 1991 Annual Meeting, August 4-7, Manhattan, Kansas 271354, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Valdes, Alberto & Zietz, Joachim, 1995. "Distortions in world food markets in the wake of GATT: Evidence and policy implications," World Development, Elsevier, vol. 23(6), pages 913-926, June.
    8. Borrell, Brent & Duncan, Ronald C., 1990. "A survey of the costs of world sugar policies," Policy Research Working Paper Series 522, The World Bank.

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