IDEAS home Printed from https://ideas.repec.org/a/spr/empeco/v26y2001i2p367-389.html
   My bibliography  Save this article

Measuring the effectiveness of non-price export promotion using a supply-side approach

Author

Listed:
  • C. Richard Shumway

    (Department of Agricultural Economics, Washington State University, TX, 99164-6210 USA)

  • H. Alan Love

    (Department of Agricultural Economics, Texas A&M University, 2124 TAMU, College Station, TX 77843-2124, USA)

  • Juan J. Porras

    (U.S. Customs, Department of the Treasury, Laredo, TX, 78045 USA)

Abstract

In this paper we assess the effectiveness of the Market Promotion Program (MPP) in increasing U.S. exports and benefitting U.S. agricultural producers and food processors. Export shipments are linked to producer welfare using Kohli's (1978) profit maximization (GNP function) approach to modeling international trade. Using estimated profit functions in conjunction with a synthetic export demand function for processed agricultural products, we compute changes in farm and food processing sector profits that result from alternative own-price and advertising elasticities of export demand with and without the MPP subsidy. This approach allows us to investigate aggregate welfare effects of nonprice promotion without requiring the difficult task of estimating the export demand effects of market promotion activities for numerous commodities and importing countries.

Suggested Citation

  • C. Richard Shumway & H. Alan Love & Juan J. Porras, 2001. "Measuring the effectiveness of non-price export promotion using a supply-side approach," Empirical Economics, Springer, vol. 26(2), pages 367-389.
    • Handle: RePEc:spr:empeco:v:26:y:2001:i:2:p:367-389
    Note: received: April 1999/Final version received: June 2000
    as

    Download full text from publisher

    File URL: http://link.springer.de/link/service/journals/00181/papers/1026002/10260367.pdf
    Download Restriction: Access to the full text of the articles in this series is restricted
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

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


    Cited by:

    1. Henry Kinnucan & Øystein Myrland, 2008. "On generic vs. brand promotion of farm products in foreign markets," Applied Economics, Taylor & Francis Journals, vol. 40(6), pages 673-684.
    2. Salvator Nkunzimana & H. Alan Love & C. Richard Shumway, 2003. "Mexican agricultural trade under the GATT," Applied Economics, Taylor & Francis Journals, vol. 35(4), pages 449-459.
    3. Williams, Gary W. & Capps Jr., Oral, 2020. "Generic promotion of Norwegian seafood exports," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 23(3), August.

    More about this item

    Keywords

    export promotion · international trade · GNP function · food manufacturing;

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

    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:spr:empeco:v:26:y:2001:i:2:p:367-389. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.