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The Effects of Domestic Offset Programs on the Cotton Market

Suwen Pan, Darren Hudson and Maria Erlinda M. Mutuc

No 98557, 2011 Annual Meeting, February 5-8, 2011, Corpus Christi, Texas from Southern Agricultural Economics Association

Abstract: This paper analyzed the effects of the U.S. domestic offset program on the world cotton markets using a partial equilibrium model following the assumption given by Brown et al. (2010). The results in our study are largely similar to those of Baker et al. and Brown et al., confirming that study’s findings that ACES, and its domestic offset program in particular, would cause increases in the domestic prices of several agricultural commodities. However, the overall effects of this increase in the world price on total world trade is tempered by increased exports from India, Brazil, Uzbekistan, Australia, and Western & Central African countries.

Keywords: Agricultural and Food Policy; International Relations/Trade (search for similar items in EconPapers)
Pages: 21
Date: 2011
New Economics Papers: this item is included in nep-agr and nep-cwa
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Persistent link: https://EconPapers.repec.org/RePEc:ags:saea11:98557

DOI: 10.22004/ag.econ.98557

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