Two Approaches To Measuring The Economic Impact Of Starlink Corn On U.S. Producers
The discovery of StarLink corn in U.S. food products caused considerable disruption in the corn markets in 2000 and 2001. We estimated two models on the impact of StarLink corn over the 2000/2001 marketing year. In the first model, to segregate the U.S. corn market, identity preservation costs (IP costs) were imposed on the U.S. grain handling system to deal with both domestic and export sales of food corn and export sales of non food corn to Japan. In the second model, structural changes in corn demand were taken into account. Without taking into account Loan Deficiency Payment Program (LDP) payments, significant costs were incurred by producers as a result of StarLink. However, the effectively reduced the loss in revenue that would have been caused by StarLink, since there were periods of time immediately following the discovery of StarLink during which the market price dropped below the loan rate for corn. It was estimated that StarLink caused U.S. producers to lose between $25 and $290 million in revenue.
|Date of creation:||2004|
|Date of revision:|
|Contact details of provider:|| Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202|
Phone: (414) 918-3190
Fax: (414) 276-3349
Web page: http://www.aaea.org
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Charles B. Moss & Andrew Schmitz, 2001.
"Vertical integration and trade policy: The case of sugar,"
John Wiley & Sons, Ltd., vol. 18(1), pages 49-60.
- Moss, Charles B. & Schmitz, Andrew, 2000. "Vertical Integration And Trade Policy: The Case Of Sugar," 2000 Annual meeting, July 30-August 2, Tampa, FL 21754, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Bullock, David S. & Desquilbet, Marion & Nitsi, Elisavet I., 2000.
"The Economics Of Non-Gmo Segregation And Identity Preservation,"
2000 Annual meeting, July 30-August 2, Tampa, FL
21845, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
- Bullock, D. S. & Desquilbet, M., 2002. "The economics of non-GMO segregation and identity preservation," Food Policy, Elsevier, vol. 27(1), pages 81-99, February.
- Schmitz, Troy G. & Gray, Richard S., 2000. "State Trading Enterprises And Revenue Gains From Market Power: The Case Of Barley Marketing And The Canadian Wheat Board," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 25(02), December.
- Moschini, GianCarlo & Lapan, Harvey E. & Sobolevsky, Andrei, 2000.
"Roundup Ready Soybeans and Welfare Effects in the Soybean Complex,"
Staff General Research Papers
1799, Iowa State University, Department of Economics.
- Giancarlo Moschini & Harvey Lapan & Andrei Sobolevsky, 2000. "Roundup ready® soybeans and welfare effects in the soybean complex," Agribusiness, John Wiley & Sons, Ltd., vol. 16(1), pages 33-55.
- Lin, William W. & Price, Gregory K. & Allen, Edward W., 2002. "Starlink: Impacts On The U.S. Corn Market And World Trade," 2002 Annual meeting, July 28-31, Long Beach, CA 19715, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
When requesting a correction, please mention this item's handle: RePEc:ags:aaea04:20306. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If references are entirely missing, you can add them using this form.