U.S. Proposal for WTO Hong Kong Ministerial Conference: What's at Stake for Cotton Producers?
This study analyzed the cost to U.S. cotton producers of two policy alternatives under which the U.S. seeks to cut its total AMS payments for cotton by 60%. We considered two scenarios; the U.S. decides to act unilaterally versus conducting the policy initiative along with multilateral tariff and subsidy eliminations from the Rest of the World. The study found a 12% cut in target price and 8% cut in loan rate are necessary to reach the 60% AMS targeted reduction under the unilateral scenario. In that regards, U.S. net farm income decreases considerably despite an appreciation of U.S. farm price. Under a multilateral trade liberalization from the Rest of the World, a 9% cut in the loan rate and 4% in loan rate are enough to reach the AMS reduction threshold. The study found there is 20% chance that net farm income would appreciate and 80% chance that it would decline. However, the decline is less severe compared to the situation where the U.S. acts alone. Overall, the sole beneficiaries in both policies are mainly the major exporters such as Brazil, Australia, West Africa, and Uzbekistan.
|Date of creation:||2006|
|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
References listed on IDEAS
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.:
- Beghin, John C. & El Osta, Barbara & Cherlow, Jay R. & Mohanty, Samarendu, 2003.
"Cost of the U.S. Sugar Program Revisited, The,"
Staff General Research Papers Archive
1947, Iowa State University, Department of Economics.
- John C. Beghin & Barbara El Osta & Jay R. Cherlow & Samarendu Mohanty, 2001. "Cost of the U.S. Sugar Program Revisited, The," Center for Agricultural and Rural Development (CARD) Publications 01-wp273, Center for Agricultural and Rural Development (CARD) at Iowa State University.
- John C. Beghin & Barbara El Osta & Jay R. Cherlow & Samarendu Mohanty, 2001. "Cost of the U.S. Sugar Program Revisited, The," Food and Agricultural Policy Research Institute (FAPRI) Publications 01-wp273, Food and Agricultural Policy Research Institute (FAPRI) at Iowa State University.
- Richardson, James W. & Klose, Steven L. & Gray, Allan W., 2000.
"An Applied Procedure for Estimating and Simulating Multivariate Empirical (MVE) Probability Distributions In Farm-Level Risk Assessment and Policy Analysis,"
Journal of Agricultural and Applied Economics,
Cambridge University Press, vol. 32(02), pages 299-315, August.
- Richardson, James W. & Klose, Steven L. & Gray, Allan W., 2000. "An Applied Procedure For Estimating And Simulating Multivariate Empirical (Mve) Probability Distributions In Farm-Level Risk Assessment And Policy Analysis," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 32(02), August.
- Gardner, Bruce L., 2003. "U.S. Agricultural Policies, Since 1995, with a Focus on Market Effects in Grains and Oilseeds," Working Papers 28553, University of Maryland, Department of Agricultural and Resource Economics.
When requesting a correction, please mention this item's handle: RePEc:ags:aaea06:21273. 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 you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.