State Trading Versus Export Subsidies: The Case Of Canadian Wheat
Canada and the United States have used different trade policies to support their wheat industries. Canada conferred sole export powers to the Canadian Wheat Board, allowing it to price discriminate among markets. The U.S. government has funded transfers to its wheat producers from taxpayers, instead, through export subsidies. This study compares these two ways of supporting producers in terms of their transfer efficiency and overall deadweight losses, the incidence on different domestic interest groups, and their consequences for third party traders. In the analysis we consider the implications of market power of wheat marketing firms for the comparison of policy alternatives in the context of the Canadian wheat industry.
Volume (Year): 25 (2000)
Issue (Month): 01 (July)
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- Scoppola, Margherita, 1995. "Multinationals and agricultural policy in the EC and USA," Food Policy, Elsevier, vol. 20(1), pages 11-25, February.
- Alston, Julian M. & Freebairn, John W., 1988. "Producer Price Equalization," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 56(03), December.
- Colin A. Carter & R.M.A. Loyns & Derek Berwald, 1998. "Domestic Costs of Statutory Marketing Authorities: The Case of the Canadian Wheat Board," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(2), pages 313-324.
- Schmitz, Andrew & Furtan, William Hartley & Baylis, Katherine R., 1999. "State Trading and the Upcoming WTO Discussions," Choices, Agricultural and Applied Economics Association, vol. 14(2).
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