IDEAS home Printed from https://ideas.repec.org/a/bla/worlde/v28y2005i4p573-593.html
   My bibliography  Save this article

Who Bears the Cost of Agricultural Support in OECD Countries?

Author

Listed:
  • Stephen Tokarick

Abstract

This paper provides quantitative estimates of the impact of removing agricultural support in both OECD and developing countries in partial and general equilibrium frameworks. The results show that agricultural support in OECD countries is highly distortionary, and tariffs have a larger distortionary impact than subsidies. Removal of agricultural support would likely raise the international prices of food, resulting in an increase in the cost of food for many net‐food importing countries, although the size of the increase is generally small. The results also show that most of the benefits from removing agricultural support accrue to the countries that liberalise.

Suggested Citation

  • Stephen Tokarick, 2005. "Who Bears the Cost of Agricultural Support in OECD Countries?," The World Economy, Wiley Blackwell, vol. 28(4), pages 573-593, April.
  • Handle: RePEc:bla:worlde:v:28:y:2005:i:4:p:573-593
    DOI: 10.1111/j.1467-9701.2005.00692.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-9701.2005.00692.x
    Download Restriction: no

    File URL: https://libkey.io/10.1111/j.1467-9701.2005.00692.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Uwe Eiteljörge & Mr. Clinton R. Shiells, 1995. "The Uruguay Round and Net Food Importers," IMF Working Papers 1995/143, International Monetary Fund.
    2. Gardiner, Walter H. & Roningen, Vernon O. & Liu, Karen, 1989. "Elasticities In The Trade Liberalization Database," Staff Reports 278197, United States Department of Agriculture, Economic Research Service.
    3. Olarreaga, Marcelo & Ng, Francis, 2002. "Reducing Agriculture Tariffs Versus Domestic Support: What's More Important for Developing Countries?," CEPR Discussion Papers 3576, C.E.P.R. Discussion Papers.
    4. Kym Anderson & Betina Dimaranan & Joe Francois & Tom Hertel & Bernard Hoekman & Will Martin, 2001. "The Cost of Rich (and Poor) Country Protection to Developing Countries," Journal of African Economies, Centre for the Study of African Economies, vol. 10(3), pages 227-257.
    5. Anderson, James E., 1998. "The Uruguay Round and welfare in some distorted agricultural economies," Journal of Development Economics, Elsevier, vol. 56(2), pages 393-410, August.
    6. Mr. Stephen Tokarick, 2003. "Measuring the Impact of Distortions in Agricultural Trade in Partial and General Equilibrium," IMF Working Papers 2003/110, International Monetary Fund.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Susan Senior Nello, 2007. "Winners and Losers from World Agricultural Trade Liberalisation," RSCAS Working Papers 2007/18, European University Institute.
    2. Sánchez-Cano, Julieta Evangelina, 2012. "The public policies of the mexican agricutural sector in the framework of the international economy," eseconomía, Escuela Superior de Economía, Instituto Politécnico Nacional, vol. 0(33), pages 45-77, primer tr.
    3. Andrew Austin, 2005. "Provincial Interests and Political Integration: Voting in the French Maastricht Referendum," CERGE-EI Working Papers wp281, The Center for Economic Research and Graduate Education - Economics Institute, Prague.
    4. Shokhrukh-Mirzo Jalilov & Saud Amer & Frank Ward, 2013. "Water, Food, and Energy Security: An Elusive Search for Balance in Central Asia," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 27(11), pages 3959-3979, September.
    5. Silke Friedrich, 2013. "Policy persistence and rent extraction," Public Choice, Springer, vol. 157(1), pages 287-304, October.
    6. Fabienne Femenia & Alexandre Gohin, 2009. "On the European Responsibility in the Agricultural Multilateral Trade Negotiations: Modelling the Impacts of the Common Agricultural Policy," The World Economy, Wiley Blackwell, vol. 32(10), pages 1434-1460, October.
    7. International Monetary Fund, 2006. "Japan: Staff Report for the 2006 Article IV Consultation," IMF Staff Country Reports 2006/275, International Monetary Fund.
    8. Frank Ackerman, 2006. "Assessing the Effects of Trade Liberalisation: A Critical Examination," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 3, July.
    9. Frank Ackerman, "undated". "The Shrinking Gains from Trade: A Critical Assessment of Doha Round Projections," GDAE Working Papers 05-01, GDAE, Tufts University.
    10. Silke Friedrich, 2013. "Policy Persistence and Rent Extraction," CESifo Working Paper Series 4325, CESifo.
    11. Olaf Erenstein & Moti Jaleta & Kai Sonder & Khondoker Mottaleb & B.M. Prasanna, 2022. "Global maize production, consumption and trade: trends and R&D implications," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 14(5), pages 1295-1319, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mr. Stephen Tokarick, 2003. "Measuring the Impact of Distortions in Agricultural Trade in Partial and General Equilibrium," IMF Working Papers 2003/110, International Monetary Fund.
    2. Betina Dimaranan & Thomas W. Hertel & Roman Keeney, 2003. "OECD Domestic Support and Developing Countries," WIDER Working Paper Series DP2003-32, World Institute for Development Economic Research (UNU-WIDER).
    3. Valdes, Alberto & Foster, William E., 2006. "Latin America's "New Open Regionalism" and WTO Negotiations: the case of agriculture," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 6(12), pages 1-32.
    4. Luis San Vicente Portes, 2005. "On the Distributional Effects of Trade Policy: A Macroeconomic Perspective," Computing in Economics and Finance 2005 358, Society for Computational Economics.
    5. Mr. Stephen Tokarick, 2004. "What Do We Know About Tariff Incidence?," IMF Working Papers 2004/182, International Monetary Fund.
    6. Dimaranan, Betina V. & Hertel, Thomas W. & Keeney, Roman, 2003. "OECD Domestic Support and the Developing Countries," 2003 Annual meeting, July 27-30, Montreal, Canada 22000, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Kym Anderson, 2006. "Reducing Distortions to Agricultural Incentives: Progress, Pitfalls, and Prospects," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(5), pages 1135-1146.
    8. Jales, Mário, 2010. "How Would A Trade Deal On Cotton Affect Exporting And Importing Countries?," WTO Doha Round 320115, International Centre for Trade and Sustainable Development (ICTSD).
    9. Ferris, John N., 1991. "Analysis Of The Past And Future Impacts Of The Wheat, Feed Grains And Conservation Reserve Provisions Of The Food Security Act Of 1985 On U.S. Agriculture," 1991 Annual Meeting, August 4-7, Manhattan, Kansas 271269, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Bruce A. Babcock & John C. Beghin & Jacinto F. Fabiosa & Stephane De Cara & Amani Elobeid & Cheng Fang & Chad E. Hart & Murat Isik & Holger Matthey & Alexander E. Saak & Karen Kovarik & FAPRI Staff, 2002. "Doha Round of the World Trade Organization: Appraising Further Liberalization of Agricultural Markets, The," Center for Agricultural and Rural Development (CARD) Publications 02-wp317, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    11. Babula, Ronald A. & Bessler, David A. & Reeder, John & Somwaru, Agapi, 2004. "Modeling U.S. Soy-Based Markets with Directed Acyclic Graphs and Time Series Econometrics: Evaluating the U.S. Market Impacts of High Soy Meal Prices," Working Paper ID Series 15885, United States International Trade Commission, Office of Industries.
    12. Burfisher, Mary E. & Hanson, Kenneth & Hopkins, Jeffrey & Somwaru, Agapi, 2004. "Global Agriculural Reform and U.S. Agricultural Adjustment Capacity," Conference papers 331303, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    13. Bureau, Jean-Christophe & Jean, Sebastien & Matthews, Alan, 2006. "The Consequences of Agricultural Trade Liberalization for Developing Countries," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25471, International Association of Agricultural Economists.
    14. Diao, Xinshen & Diaz-Bonilla, Eugenio & Robinson, Sherman & Orden, David, 2005. "Tell me where it hurts, an' I'll tell you who to call," MTID discussion papers 84, International Food Policy Research Institute (IFPRI).
    15. BOUËT Antoine & BUREAU Jean-Christophe & DECREUX Yvan & JEAN Sébastien, 2010. "Is Northern Agricultural Liberalization Beneficial to Developing Countries?," EcoMod2003 330700021, EcoMod.
    16. Achterbosch, Thom J. & Ben Hammouda, H. & Osakwe, Patrick N. & van Tongeren, Frank W., 2004. "Trade Liberalisation Under The Doha Development Agenda; Options And Consequences For Africa," Report Series 29104, Wageningen University and Research Center, Agricultural Economics Research Institute.
    17. Patrick Messerlin, 2006. "Europe after the 'no' votes : mapping a new economic path," SciencePo Working papers Main hal-00973109, HAL.
    18. Porto, Guido G., 2003. "Trade reforms, market access, and poverty in Argentina," Policy Research Working Paper Series 3135, The World Bank.
    19. Fabiosa, Jacinto F. & Beghin, John C. & de Cara, Stephane & Fang, Cheng & Isik, Murat & Matthey, Holger, 2003. "Agricultural Markets Liberalization And The Doha Round," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25875, International Association of Agricultural Economists.
    20. Abler, David G., 2006. "Approaches to Measuring the Effects of Trade Agreements," Commissioned Papers 140762, Canadian Agricultural Trade Policy Research Network.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:worlde:v:28:y:2005:i:4:p:573-593. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0378-5920 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.