IDEAS home Printed from https://ideas.repec.org/p/ags/saeana/46082.html
   My bibliography  Save this paper

An Empirical Estimation Of The Import Demand Model And Welfare Effects: The Case Of Rice Importing Countries

Author

Listed:
  • Kang, Hyunsoo
  • Kennedy, P. Lynn
  • Hilbun, Brian M.

Abstract

This analysis presents the determination of an import demand function for the world rice market using annual data from 1994 to 2007. In the specification and analysis of a world rice market import demand function, Ordinary Least Square (OLS), Instrumental Variables (IV) with Generalized Method of Moments (GMM), and Seemingly Unrelated Regression (SUR) methods have been used. Social welfare effects have been obtained using consumer surplus and compensated variation for the top four rice importing countries (Indonesia, Philippines, Nigeria, and Saudi Arabia). Empirical results suggest that economic growth, Foreign Direct Investment (FDI), and importing countries’ population positively affect national income, thus, positively affecting rice consumption. Oil price has a strong effect on the domestic rice prices in importing countries. This paper also estimates the social effects arising from increased rice export prices and examines how consumer surplus is affected in major rice importing countries.

Suggested Citation

  • Kang, Hyunsoo & Kennedy, P. Lynn & Hilbun, Brian M., 2009. "An Empirical Estimation Of The Import Demand Model And Welfare Effects: The Case Of Rice Importing Countries," 2009 Annual Meeting, January 31-February 3, 2009, Atlanta, Georgia 46082, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saeana:46082
    DOI: 10.22004/ag.econ.46082
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/46082/files/An%20Empirical%20Examination%20of%20the%20Import%20Demand%20Model%20and%20Welfare%20Effects%20The%20Case%20of%20Rice%20Importing%20Countries%20_SEAE%202009_%20final%20version.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.46082?utm_source=ideas
    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

    as
    1. Erik Brynjolfsson & Yu (Jeffrey) Hu & Michael D. Smith, 2003. "Consumer Surplus in the Digital Economy: Estimating the Value of Increased Product Variety at Online Booksellers," Management Science, INFORMS, vol. 49(11), pages 1580-1596, November.
    2. Campa, Jose M. & Goldberg, Linda S., 2002. "Exchange rate pass-through into import prices: A macro or micro phenomenon?," IESE Research Papers D/475, IESE Business School.
    3. Carone, Giuseppe, 1996. "Modeling the U.S. demand for imports through cointegration and error correction," Journal of Policy Modeling, Elsevier, vol. 18(1), pages 1-48, February.
    4. Jeffrey M Wooldridge, 2010. "Econometric Analysis of Cross Section and Panel Data," MIT Press Books, The MIT Press, edition 2, volume 1, number 0262232588, December.
    5. Richard E, Just & Darrell L. Heuth & Andrew Schmitz, 2004. "The Welfare Economics of Public Policy," Books, Edward Elgar Publishing, number 3342.
    6. Deyak, Timothy A & Sawyer, W Charles & Sprinkle, Richard L, 1989. "An Empirical Examination of the Structural Stability of Disaggregated U.S. Import Demand," The Review of Economics and Statistics, MIT Press, vol. 71(2), pages 337-341, May.
    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. Kalyoncu, Huseyin, 2006. "An aggregate import demand function for Turkey: a cointegration analysis," MPRA Paper 4260, University Library of Munich, Germany.
    2. Pavel Kadochnikov, 2006. "An Analysis of Import Substitution in Russia after the 1998 Crisis," Research Paper Series, Gaidar Institute for Economic Policy, issue 95, pages 148-148.
    3. Haris Krijestorac & Rajiv Garg & Vijay Mahajan, 2020. "Cross-Platform Spillover Effects in Consumption of Viral Content: A Quasi-Experimental Analysis Using Synthetic Controls," Information Systems Research, INFORMS, vol. 31(2), pages 449-472, June.
    4. Andrea Vaona, 2013. "Import demand and renewable energy generation in 26 countries," Working Papers 07/2013, University of Verona, Department of Economics.
    5. Santos-Paulino, Amelia U., 2002. "The Effects of Trade Liberalization on Imports in Selected Developing Countries," World Development, Elsevier, vol. 30(6), pages 959-974, June.
    6. Zhang, Teng & Ouyang, Puman, 2018. "Is RMB appreciation a nightmare for the Chinese firms? An analysis on firm profitability and exchange rate," International Review of Economics & Finance, Elsevier, vol. 54(C), pages 27-43.
    7. Mah, Jai S., 2000. "An empirical examination of the disaggregated import demand of Korea--the case of information technology products," Journal of Asian Economics, Elsevier, vol. 11(2), pages 237-244.
    8. Georgy Idrisov, 2010. "Factors of Demand for Imported Goods for Investment Purpose to Russia," Research Paper Series, Gaidar Institute for Economic Policy, issue 138P.
    9. Vaona, Andrea, 2016. "The effect of renewable energy generation on import demand," Renewable Energy, Elsevier, vol. 86(C), pages 354-359.
    10. Averi Chakrabarti & Karen A Grépin & Stéphane Helleringer, 2019. "The impact of supplementary immunization activities on routine vaccination coverage: An instrumental variable analysis in five low-income countries," PLOS ONE, Public Library of Science, vol. 14(2), pages 1-11, February.
    11. Tisdell, Clem, 2014. "Information Technology's Impacts on Productivity, Welfare and Social Change: Second Version," Economic Theory, Applications and Issues Working Papers 195701, University of Queensland, School of Economics.
    12. Harold Alderman & John Hoddinott & Bill Kinsey, 2006. "Long term consequences of early childhood malnutrition," Oxford Economic Papers, Oxford University Press, vol. 58(3), pages 450-474, July.
    13. Huh, Yesol & Kim, You Suk, 2023. "Cheapest-to-deliver pricing, optimal MBS securitization, and welfare implications," Journal of Financial Economics, Elsevier, vol. 150(1), pages 68-93.
    14. Fan Li & Prashant Loyalka & Hongmei Yi & Yaojiang Shi & Natalie Johnson & Scott Rozelle, 2016. "Ability Tracking and Social Capital in China’s Rural Secondary School System," LICOS Discussion Papers 37916, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
    15. Ji Yan & Sally Brocksen, 2013. "Adolescent risk perception, substance use, and educational attainment," Journal of Risk Research, Taylor & Francis Journals, vol. 16(8), pages 1037-1055, September.
    16. Sènakpon Fidèle A. Dedehouanou & Luca Tiberti & Hilaire G. Houeninvo & Djohodo Inès Monwanou, 2019. "Working while studying: Employment premium or penalty for youth in Benin?," Working Papers PMMA 2019-03, PEP-PMMA.
    17. Mengyuan Zhou, 2022. "Does the Source of Inheritance Matter in Bequest Attitudes? Evidence from Japan," Journal of Family and Economic Issues, Springer, vol. 43(4), pages 867-887, December.
    18. Sandra Müllbacher & Wolfgang Nagl, 2017. "Labour supply in Austria: an assessment of recent developments and the effects of a tax reform," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 44(3), pages 465-486, August.
    19. Campbell, Randall C. & Nagel, Gregory L., 2016. "Private information and limitations of Heckman's estimator in banking and corporate finance research," Journal of Empirical Finance, Elsevier, vol. 37(C), pages 186-195.
    20. Giuliani, Elisa & Martinelli, Arianna & Rabellotti, Roberta, 2016. "Is Co-Invention Expediting Technological Catch Up? A Study of Collaboration between Emerging Country Firms and EU Inventors," World Development, Elsevier, vol. 77(C), pages 192-205.

    More about this item

    Keywords

    International Relations/Trade;

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    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:saeana:46082. See general information about how to correct material in RePEc.

    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: https://edirc.repec.org/data/saeaaea.html .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.