SECTORAL IMPLICATIONS OF FARM PROGRAM MODIFICATIONS

abstract

• The overall and distributional effects of farm programs and selected revisions are examined using a mathematical programming sector model. The model incorporates market distortions caused by price supports, target prices, program participation, deficiency payments and marketing loans. Current farm programs are found to increase producer prices, depress consumer prices, and in turn result in excess production and higher consumption and exports. Domestic and foreign consumers as well as domestic producers are subsidized by farm programs. Social deadweight loss occurs as government payments exceed welfare benefits received by consumers and producers. Society as a whole benefits from reductions in program provisions. 1992 American Agricultural Economics Association.

authors

• Mccarl, Bruce
• Mjelde, James
• Richardson, James

published proceedings

• AMERICAN JOURNAL OF AGRICULTURAL ECONOMICS

author list (cited authors)

• CHANG, C. C., MCCARL, B. A., MJELDE, J. W., & RICHARDSON, J. W.

citation count

• 71

complete list of authors

• CHANG, CC||MCCARL, BA||MJELDE, JW||RICHARDSON, JW

publication date

• February 1992

publisher

• Wiley  Publisher

published in

• American Journal of Agricultural Economics  Journal

keywords

• Agricultural Sector Model
• Farm Programs
• Mathematical Programming
• Policy Analysis
• Welfare Distribution

Digital Object Identifier (DOI)

• 10.2307/1242988

start page

• 38

end page

• 49

volume

• 74

issue

• 1

URL

• http%3A%2F%2Fdx.doi.org%2F10.2307%2F1242988