IDEAS home Printed from
   My bibliography  Save this paper

Structural Adjustment and Agricultural Export Response in Latin America


  • Lee, David R.
  • Markussen, Kristin A.


Expanding exports has been one of the principal goals of structural adjustment programs aimed at restoring external balance of payments equilibria in many developing countries. This paper analyzes agricultural export response for selected crops in 8 Latin American countries over the period 1961- 1990 in an attempt to confirm the export-enhancing effects of structural adjustment. The results show that: (a) commodity and country disaggregation in estimation generates much higher export response elasticities than previously estimated; (b) variations in the real exchange rate have a dominant effect in stimulating export response, compared to commodity price changes; and (c) statistical tests confirm structural change in export response elasticities in over half of the equations estimated. Overall, the evidence suggests that stabilization and adjustment reforms have had a significant though non-uniform effect in stimulating agricultural export expansion in Latin America.

Suggested Citation

  • Lee, David R. & Markussen, Kristin A., 1997. "Structural Adjustment and Agricultural Export Response in Latin America," 1997 Occasional Paper Series No. 7 198200, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaaeo7:198200
    DOI: 10.22004/ag.econ.198200

    Download full text from publisher

    File URL:
    Download Restriction: no

    File URL:
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item

    References listed on IDEAS

    1. Balassa, Bela, 1988. "Incentive policies and agricultural performance in sub-Saharan Africa," Policy Research Working Paper Series 77, The World Bank.
    2. Michael Wattleworth, 1988. "The Effects of Collective Devaluation on Commodity Prices and Exports," IMF Staff Papers, Palgrave Macmillan, vol. 35(1), pages 166-180, March.
    3. P. B. R. Hazell & M. Jaramillo & A. Williamson, 1990. "The Relationship Between World Price Instability And The Prices Farmers Receive In Developing Countries," Journal of Agricultural Economics, Wiley Blackwell, vol. 41(2), pages 227-241, May.
    4. Gersovitz, M. & Paxson, C.H., 1990. "The Economies Of Africa And The Prices Of Their Exports," Princeton Studies in International Economics 68, International Economics Section, Departement of Economics Princeton University,.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Markussen, Kristin A. & Lee, David R., 1994. "Structural Adjustment And Agricultural Export Response In Latin America," Working Papers 7268, Cornell University, Department of Applied Economics and Management.
    2. Jorge Quiróz & Raimundo Soto, "undated". "International Price Signals in Agricultural Markets: DoGovernments Care?," ILADES-UAH Working Papers inv088, Universidad Alberto Hurtado/School of Economics and Business.
    3. Ronchi, Loraine, 2006. "Fairtrade and market failures in agricultural commodity markets," Policy Research Working Paper Series 4011, The World Bank.
    4. Weiss, Christoph R. & Thiele, Holger D., 2002. "Diversifikation und Wachstum landwirtschaftlicher Unternehmen," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 51(03), pages 1-8.
    5. Smith, C. E., 1999. "Exchange rate variation, commodity price variation and the implications for international trade," Journal of International Money and Finance, Elsevier, vol. 18(3), pages 471-491.
    6. Schiff, Maurice & Valdes, Alberto, 1990. "The link between poverty and malnutrition : a household theoretic approach," Policy Research Working Paper Series 536, The World Bank.
    7. Jane Kiringai, 2006. "Trade Policy and Transport Costs in Kenya," Discussion Papers 06/11, University of Nottingham, CREDIT.
    8. Weeks J., 1991. "Structural adjustment and rural labour markets in Sierra Leone," ILO Working Papers 992810213402676, International Labour Organization.
    9. F. T. M. Kilima, 2006. "Are Price Changes in the World Market Transmitted to Markets in Less Developed Countries? A Case Study of Sugar, Cotton, Wheat, and Rice in Tanzania," The Institute for International Integration Studies Discussion Paper Series iiisdp160, IIIS.
    10. Alberto Valdés & Maurice Schiff, 1990. "Sobre la Relación entre Pobreza y Desnutrición: un Enfoque Conceptual al Nivel del Hogar," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 27(81), pages 139-150.
    11. Jayasuriya, Sisira & Kim, Jae H. & Kumar, Parmod, 2007. "International and Internal Market Integration in Indian agriculture: A study of the Indian Rice Market," 106th Seminar, October 25-27, 2007, Montpellier, France 7935, European Association of Agricultural Economists.
    12. McNamara, Kevin T. & Weiss, Christoph R., 2005. "Farm Household Income and On-and-Off Farm Diversification," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 37(1), pages 1-12, April.
    13. Weiss, Christoph R. & Briglauer, Wolfgang, 2000. "Determinants and Dynamics of Farm Diversification," FE Working Papers 0002, Christian-Albrechts-University of Kiel, Department of Food Economics and Consumption Studies.
    14. Jaramillo, Carlos Felipe & Nupia, Oskar Andres, 1998. "The Link Between Farmgate And World Prices In The Wake Of Trade Liberalization: The Case Of Colombia," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20819, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Sabuhoro, Jean Bosco & Larue, Bruno, 1997. "The market efficiency hypothesis: The case of coffee and cocoa futures," Agricultural Economics, Blackwell, vol. 16(3), pages 171-184, August.
    16. Paul, R.K. & Saxena, R. & Chaurasia, S. & Zeeshan & Rana, S., 2015. "Examining Export Volatility, Structural Breaks in Price Volatility and Linkages between Domestic and Export Prices of Onion in India," Agricultural Economics Research Review, Agricultural Economics Research Association (India), vol. 28(Conferenc).
    17. Villoria, Nelson & Lee, David R., 2002. "The Andean Price Band System: Effects On Prices, Protection And Producer Welfare," 2002 Annual meeting, July 28-31, Long Beach, CA 19751, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    18. Eduardo Engel & Rodrigo Valdés, 2001. "Prediciendo el precio del cobre: ¿Más allá del camino aleatorio?," Documentos de Trabajo 100, Centro de Economía Aplicada, Universidad de Chile.
    19. Quiroz, Jorge A. & Valdes, Alberto, 1995. "Agricultural diversification and policy reform," Food Policy, Elsevier, vol. 20(3), pages 245-255, June.
    20. Angus Deaton, 1999. "Commodity Prices and Growth in Africa," Journal of Economic Perspectives, American Economic Association, vol. 13(3), pages 23-40, Summer.


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:iaaeo7:198200. 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: . General contact details of provider: .

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.