IDEAS home Printed from
   My bibliography  Save this paper

Modifying Export Taxes and Quotas To Make Them Less Market-Distorting


  • Liefert, William M.
  • Westcott, Paul C.
  • Wainio, John


This paper examines how conventional export taxes and quotas can be modified to make them less market-distorting, and thereby less welfare-diminishing. The modified policies achieve the same economic objectives of the tax or quota, such as reducing the domestic price of the exported good, increasing domestic purchases, and raising revenue, but also generate additional exports beyond the volume that the tax/quota alone would allow. Also, the policies do not involve any government subsidies to either producers or consumers. We examine two scenarios. The first is when a tax or quota is already in place, as in the case of longstanding export taxes that many countries maintain for exports of agricultural, fishery, and forestry products, minerals, and metals. The second scenario is when a measure is not yet in place but a country wishes to impose one, as in the case of short run agricultural export restrictions that countries have enacted in recent years to restrain increases in domestic food commodity prices. We also examine the outcome when the country does and does not have world market power in the exported good.

Suggested Citation

  • Liefert, William M. & Westcott, Paul C. & Wainio, John, 2013. "Modifying Export Taxes and Quotas To Make Them Less Market-Distorting," Working Papers 155284, International Agricultural Trade Research Consortium.
  • Handle: RePEc:ags:iatrwp:155284

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. William M. Liefert & Paul Westcott & John Wainio, 2012. "Alternative Policies to Agricultural Export Bans that are Less Market-Distorting," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(2), pages 435-441.
    2. Jane Korinek & Jeonghoi Kim, 2010. "Export Restrictions on Strategic Raw Materials and Their Impact on Trade," OECD Trade Policy Papers 95, OECD Publishing.
    3. Trostle, Ronald, 2008. "Factors Contributing to Recent Increases in Food Commodity Prices (PowerPoint)," Seminars 43902, USDA Economists Group.
    4. Will Martin & Kym Anderson, 2012. "Export Restrictions and Price Insulation During Commodity Price Booms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 94(2), pages 422-427.
    Full references (including those not matched with items on IDEAS)


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Liefert, William M. & Westcott, Paul C., 2015. "Alternative Policies to Agricultural Export Taxes That Are Less Market Distorting," Economic Research Report 262209, United States Department of Agriculture, Economic Research Service.

    More about this item


    Agricultural and Food Policy; International Relations/Trade;

    NEP fields

    This paper has been announced in the following NEP Reports:


    Access and download statistics


    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:iatrwp:155284. 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). 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 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.

    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.