USING PRODUCER AND CONSUMER SUBSIDY EQUIVALENTS IN THE SWOPSIM MODELING FRAMEWORK

Stephen L. Haley

No 278177, Staff Reports from United States Department of Agriculture, Economic Research Service

Abstract: Producer subsidy equivalents (PSE's) and consumer subsidy equivalents (CSE' s) are used as aggregate policy measures in the U.S. Department of Agriculture's (USDA) modeling of the effects of trade liberalization on world agriculture. This report examines some issues concerning the use of PSE' s and (SE '5 in the modeling of agricultural trade liberalization in the context of the Static World Policy Simulation (SW)PSIM) models of USDA. It discusses some of the assumptions required when using PSE's and (SE's in SWOPSIM, the possible shortcomings of those assumptions, and alternative ways of dealing with the Shortcomings. Three related topics are: (1) using PSE's and CSE's as approximations to specific policy interventions such as target prices, loan rates, and export restitutions, (2) adjustments to PSE's when modeling acreage set-asides and/or supply controls, and (3) initialization of the model in the context of distortions.

Keywords: Agricultural and Food Policy; Consumer/Household Economics (search for similar items in EconPapers)
Pages: 37
Date: 1989-03
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://ageconsearch.umn.edu/record/278177/files/ers-report-391.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:uerssr:278177

DOI: 10.22004/ag.econ.278177

Access Statistics for this paper

More papers in Staff Reports from United States Department of Agriculture, Economic Research Service Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().