Economic Effects of Banning Methyl Bromide for Soil Fumigation

Walter Ferguson and Armand Padula

No 308281, Agricultural Economic Reports from United States Department of Agriculture, Economic Research Service

Abstract: Methyl bromide (MB), a soil fumigant, may be banned by the U.S. Environmental Protection Agency (EPA) because of its potential to damage the ozone layer. Banning MB would cost about $1 billion annually in combined effects on growers' net revenue and consumer cost. Agricultural imports could moderate price increases and consumer losses but would magnify U.S. growers' losses. A crop-by-crop phaseout could reduce the economic effects of a cancellation or immediate suspension of MB. This report estimates the first year's effects on producers and consumers if the EPA cancels or suspends MB. The analysis includes 21 crops grown in 5 States--California, Florida, Georgia, North Carolina, and South Carolina.

Keywords: Crop Production/Industries; Demand and Price Analysis; Production Economics; Productivity Analysis (search for similar items in EconPapers)
Pages: 42
Date: 1994-03
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Persistent link: https://EconPapers.repec.org/RePEc:ags:uerser:308281

DOI: 10.22004/ag.econ.308281

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