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WTO Agricultural Negotiations: a comparison of the Harbinson proposal and the Swiss Formula

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Author Info
Martina Brockmeier
Marianne Kurzweil
Janine Pelikan
Petra Salamon () (FAL Federal Agricultural Research Centre)
Abstract

The WTO negotiations of the Doha round are a key issue in the public debate. This paper analysis the effects of different market access option on the basis of general equilibrium model. An extended version of the GTAP model is used to firstly project a base run including the Agenda 2000, the EU enlargement, the EBA agreement and the MTR. The policy simula-tion includes the WTO negotiations. Here, it is differentiated between three different experi-ments. While the first experiment simply implements the HARBINSON 1½ proposal, the sec-ond one additionally takes into account an adoption of the EBA agreement by all industrial-ized countries. In the third experiment, the tariff cuts are based on the Swiss Formula using a coefficient of 33 instead of the tiered approach of HARBINSON. Based on the experiments, it can be shown that world wide the high protected sectors experiences severe losses relative to the application of the HARBINSON 1½ approach. The comparison also shows that the highly protected beef and other processed food products sectors of the EU are particularly affected by the Swiss Formula.

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Paper provided by ENARPRI (European Network of Agricultural and Rural Policy Research Institutes) in its series ENARPRI Working Papers with number 012.

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Length: 26 pages
Date of creation: Feb 2005
Date of revision:
Handle: RePEc:ena:enawpp:012

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  1. Harrison, W Jill & Pearson, K R, 1996. "Computing Solutions for Large General Equilibrium Models Using GEMPACK," Computational Economics, Springer, vol. 9(2), pages 83-127, May.
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  2. Bach, Christian Friis & Ken Pearson, 1996. "Implementing Quotas in GTAP Using GEMPACK or How to Linearize an Inequality," GTAP Technical Papers 307, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University. [Downloadable!]
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This page was last updated on 2009-12-15.


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