causes and consequences of farm policy

causes and consequences of farm policy

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1、CAUSESANDCONSEQUENCESOFFARMPOLICYJULIANALSTONandCOLINCARTER*Twotypesofpublicchoicemodelshavebeenappliedtomodelthepoliticaleconomyoffarmprograms:theselfwilledgovernment(SWG)modelandtheclearinghousegovernment{CHG)model.Intermsoftheory,thetwomodelsareverysimilarbutmostanalystsprefertheCH

2、Gmodel.Intermsofempiricalwork,theCHGmodelhasdonealittlemore-butnotmuchmore-tofirtherourunderstandingofthecausesoffarmprograms.Reviewingthetheoreticalandappliedliteratureindicatesthatoneshouldextendandrefinethemodelssoastoallowexplicitlyforalargernumberofinterestgroups(especiallyagribu

3、sinessandforeigninterests),toallowmultiplepolicyinstrumentstobeappliedjointly,andtoexplainthechoice{s)ofpolicyinstrumentsjointlywiththerateofprotection.I.INTRODUCTIONInadditiontotheworkmeasuringtheTheU.S.governmentintervenesin"consequences"offarmpolicy,agrowingnearlyallaspectsoffoodpr

4、oduction,pro-bodyofliteraturenowattemptstoexplaincessing,andtrade.Theprice,quantity,andthe"causes"offarmpolicyusingapubliceconomicwelfareconsequencesoffarmchoiceparadigm(RausserandFreebairn,policyhavebeenwelldocumented(e.g.,1974;SarrisandFreebairn,1983;Rieth-WorldBank,1986;EconomicRep

5、ortofthemullerandRoe,1986;PaarlbergandAb-President,1986;RoningenandDixit,1988;bott,1986;BaliscanandRoumasset,1987;Sumner,1991).MeasuringtheincidenceofGardner1987a;VanzettiandKennedy,theseprogramstypicallyhasfocusedon1988;Lopez,1989;Miller,1989).Thetwothreebroadgroups:farmers,consumers

6、,bodiesofliterature-i.e.,oncausesandandtaxpayers.Itinvolvescalculatingpro-consequences-areconnectedinthatun-ducersurplus,consumersurplus,andderstandingtheeffectsoffarmpolicyisangovernmentbudgetaryoutlays.Forexam-essentialfirststepinexplainingpolicyple,during1986/1987,U.S.farmpro-choic

7、esastheoutcomeofactionbyinter-gramscosttaxpayersanestimated$30.3estgroups.billion,farmersgained$26.3billion,andTodate,theexplanatorypoweroftheconsumerslost$6.0billion(Roningenandpoliticaleconomy(publicchoice)modelsDixit,1988).U.S.consumersandtaxpayershasbeenconstrainedbytheiroversimpl

8、i-pai

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