EFFECTS OF THE SUSPENSION AGREEMENT: U.S.-MEXICO FRESH TOMATOES ANTIDUMPING CASE

Jione Jung

No 49285, 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin from Agricultural and Applied Economics Association

Abstract: This paper analyzes the effects of the suspension agreement of the U.S.-Mexico fresh tomatoes antidumping cases on U.S. consumers. A linear and dynamic version of an inverse almost ideal demand system is developed to estimate consumer behavior. The measure of consumer welfare – compensating and equivalent variations – is derived specifically for the inverse demand system. The variation of cross-price flexibilities obviously reduced since the minimum export price system came into effect, but consumer welfare does not seem to change much in the circumstance. The consumers’ budget share on domestic fresh tomatoes is likely to reduce and it suggests that the suspension agreement may not guarantee the profit of domestic producers either.

Keywords: Demand and Price Analysis; International Relations/Trade (search for similar items in EconPapers)
Pages: 24
Date: 2009
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Citations: View citations in EconPapers (2)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea09:49285

DOI: 10.22004/ag.econ.49285

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