New Indicators of How Much Agricultural Policies Restrict Global Trade

Kym Anderson and Johanna Croser ()
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Johanna Croser: School of Economics, University of Adelaide

No 2010-08, Centre for International Economic Studies Working Papers from University of Adelaide, Centre for International Economic Studies

Abstract: Despite recent reforms, world agricultural markets remain highly distorted by government policies. Traditional indicators of agricultural and food price distortions such as producer and consumer support estimates (PSEs and CSEs) can be poor guides to the policiesÂ’ trade effects. Two recent studies provide much better indicators of trade- (and welfare-)reducing effects of farm price and trade policies, but they provide somewhat differing numbers. This paper explains why those estimates differ and how they might be improved for use in on-going annual monitoring of the trade restrictiveness of agricultural policies in both high-incmoe and developing countries.

Keywords: Agricultural policies; trade restrictiveness indexes; food price distortions (search for similar items in EconPapers)
JEL-codes: F13 F14 Q17 Q18 (search for similar items in EconPapers)
Pages: 25 pages
Date: 2010-03
New Economics Papers: this item is included in nep-agr
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