Productivity Shocks and National Food Security for Japan
AbstractAgriculture is the focus of much contention in free trade negotiations. The Japanese government is against liberalizing the rice trade on the grounds that it would threaten "national food security" in the events of such shocks as crop failure, war, and embargo. Trade liberalization is expected to make Japan more dependent upon food imports and to make the Japanese economy more susceptible to these risks. Using a stochastic computable general equilibrium model, we conducted Monte Carlo simulations to quantify impact of rice productivity shocks and export quotas by major rice exporters to Japan and found little chance for trade liberalization for Japan to suffer from such shocks.
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Bibliographic InfoPaper provided by Research Institute of Economy, Trade and Industry (RIETI) in its series Discussion papers with number 09004.
Length: 62 pages
Date of creation: Jan 2009
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This paper has been announced in the following NEP Reports:
- NEP-AGR-2009-02-07 (Agricultural Economics)
- NEP-ALL-2009-02-07 (All new papers)
- NEP-CMP-2009-02-07 (Computational Economics)
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