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Disentangling The Production And Export Consequences Of Direct Farm Income Payments

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  • Chau, Nancy H.
  • de Gorter, Harry

Abstract

This paper formalizes the production and export consequences of direct farm payments. Taxpayer financed direct payments distort exit and production incentives, while consumer financed subsidies also imply that the risks of domestic and export production differ. Welfare decompostion and empirical calibration illustrate the potential for import barriers to cross-subsidize exports.

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File URL: http://purl.umn.edu/21854
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Bibliographic Info

Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2000 Annual meeting, July 30-August 2, Tampa, FL with number 21854.

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Date of creation: 2000
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Handle: RePEc:ags:aaea00:21854

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Related research

Keywords: Agricultural and Food Policy; International Relations/Trade;

References

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  1. GianCarlo Moschini & Paolo Sckokai, 1994. "Efficiency of Decoupled Farm Programs under Distortionary Taxation," Center for Agricultural and Rural Development (CARD) Publications 94-gatt5, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  2. Hennessy, David A., 1998. "The Production Effects of Agricultural Income Support Policies Under Uncertainty," Staff General Research Papers 1207, Iowa State University, Department of Economics.
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Cited by:
  1. Conforti, Piero & Velazquez, Beatriz E., 2003. "The Effects Of Alternative Proposals On Export Subsidies To Agricultural Products In The Current Wto Round," Working Papers 14801, National Institute of Agricultural Economics, Italy INEA, Osservatorio Sulle Politiche Agricole dell'UE.
  2. Key, Nigel D. & Roberts, Robert J., 2008. "Do Decoupled Payments Stimulate Production? Estimating the Effect on Program Crop Acreage Using Matching," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6072, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  3. Kang, Hye-Jung & Kim, Jeong-Ho, 2008. "Impact of Direct Income Payments on Productive Efficiency of Korean Rice Farms," Journal of Rural Development/Nongchon-Gyeongje, Korea Rural Economic Institute, vol. 31(2), May.
  4. Ahearn, Mary Clare & Collender, Robert N. & Diao, Xinshen & Harrington, David H. & Hoppe, Robert A. & Korb, Penelope J. & Makki, Shiva S. & Morehart, Mitchell J. & Roberts, Michael J. & Roe, Terry L. , 2004. "Decoupled Payments In A Changing Policy Setting," Agricultural Economics Reports 33981, United States Department of Agriculture, Economic Research Service.
  5. Conforti, Piero & Velazquez, Beatriz E., 2004. "The Effects of Alternative Proposals for Agricultural Export Subsidies in the Current WTO Round," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 5(1).
  6. Darragh Clancy & A. Kazukauskas & C. Newman & Fiona Thorne, 2009. "An investigation of the level of structural change in the agrifood sector of Ireland, Denmark and the Netherlands," Working Papers 0915, Rural Economy and Development Programme,Teagasc.
  7. Goodwin, Barry K. & Mishra, Ashok K., 2003. "Acreage Effects Of Decoupled Programs At The Extensive Margin," 2003 Annual meeting, July 27-30, Montreal, Canada 22254, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  8. Just, David R., 2011. "Calibrating the wealth effects of decoupled payments: Does decreasing absolute risk aversion matter?," Journal of Econometrics, Elsevier, vol. 162(1), pages 25-34, May.

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