Measuring the Impact of Distortions in Agricultural Trade in Partial and General Equilibrium

Author/Editor:

Stephen Tokarick

Publication Date:

May 1, 2003

Electronic Access:

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Summary:

This paper provides quantitative estimates of the impact of removing agricultural support (both tariffs and subsidies) in partial- and general-equilibrium frameworks. The results show that agricultural support in industrial countries is highly distortionary and tariffs have a larger distortionary impact than subsidies. Removal of agricultural support would likely raise the international prices of food, resulting in an increase in the cost of food for many net-food- importing countries, although the increase is generally small. The results also show that most of the benefits from removing agricultural support accrue to the countries that liberalize.

Series:

Working Paper No. 2003/110

Subject:

Agricultural commodities Commodities Imports International trade Price incentives Prices Tariffs Taxes

English

Publication Date:

May 1, 2003

ISBN/ISSN:

9781451853360/1018-5941

Stock No:

WPIEA1102003

Pages:

45

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