IDEAS home Printed from https://ideas.repec.org/a/ags/sojoae/30000.html
   My bibliography  Save this article

Economic Surplus And The Distributional Consequences Of Deregulating Tobacco Production

Author

Listed:
  • Sureshwaran, Suresh
  • Thompson, C. Stassen
  • Henry, Mark S.
  • Loyd, M.I.

Abstract

Reservations on technical and theoretical grounds in the use of the consumer surplus approach to measure benefits of government programs have often appeared in the literature. Therefore, this paper uses an alternative approach in a case study to estimate the annual economic surplus created in South Carolina from deregulating tobacco production. Impacts of deregulation on cropping patterns and income on representative tobacco farms, and distribution of benefits in the economy are examined. Results of this study indicate that deregulation stimulates the economy and would increase the net value added by $5.8 million in the long run.

Suggested Citation

  • Sureshwaran, Suresh & Thompson, C. Stassen & Henry, Mark S. & Loyd, M.I., 1990. "Economic Surplus And The Distributional Consequences Of Deregulating Tobacco Production," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 22(2), pages 1-11, December.
    • Handle: RePEc:ags:sojoae:30000
    DOI: 10.22004/ag.econ.30000
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/30000/files/22020117.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.30000?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bruce L. Gardner, 1976. "Futures Prices in Supply Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 58(1), pages 81-84.
    2. William T. McSweeny & David E. Kenyon & Randall A. Kramer, 1987. "Toward an Appropriate Measure of Uncertainty in a Risk Programming Model," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 69(1), pages 87-96.
    3. Richard M. Adams & Gordon A. King & Warren E. Johnston, 1977. "Effects of Energy Cost Increases and Regional Allocation Policies on Agricultural Production," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(3), pages 444-455.
    4. Epperson, James E. & Tyan, Holly L. & Carley, Dale H., 1982. "Effects Of Removal Of The Peanut Program On Georgia Production And Distribution Of Selected Fresh Produce," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 14(1), pages 1-7, July.
    5. DiPietre, Dennis & Walker, Rodney L. & Martella, David R., 1980. "Developing Regional Input-Output Models from the U.N. Format Adopted by the U.S. in the New 1972 Input-Output Model," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 12(1), pages 143-149, July.
    6. Miller, Thomas A., 1966. "Sufficient Conditions for Exact Aggregation in Linear Programming Models," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 18(2), pages 1-6, April.
    7. P. B. R. Hazell & P. L. Scandizzo, 1974. "Competitive Demand Structures under Risk in Agricultural Linear Programming Models," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 56(2), pages 235-244.
    8. Goodwin, Barry K. & Sumner, Daniel A. & Sparrow, D. Arthur, 1987. "Identification And Estimation Of Underlying Market Supply Function Parameters For A Commodity With Mandatory Output Controls," 1987 Annual Meeting, August 2-5, East Lansing, Michigan 270139, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. R. K. Lindner & F. G. Jarrett, 1978. "Supply Shifts and the Size of Research Benefits," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 60(1), pages 48-58.
    10. Dipietre, Dennis & Walker, Rodney L. & Martella, David R., 1980. "Developing Regional Input-Output Models From The U.N. Format Adopted By The U.S. In The New 1972 Input-Output Model," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 12(01), pages 1-7, July.
    11. Randall A. Kramer & William T. McSweeny & Robert W. Stavros, 1983. "Soil Conservation with Uncertain Revenues and Input Supplies," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 65(4), pages 694-702.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Collins, Keith J. & Glade, Edward H., Jr., 1981. "Regional And Functional Disaggregation Of The Cotton Industry In A National Input-Output Model," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 13(1), pages 1-8, July.
    2. Epperson, James E. & Lei, Li-Fen, 1989. "A Regional Analysis Of Vegetable Production With Changing Demand For Row Crops Using Quadratic Programming," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 21(1), pages 1-10, July.
    3. J. Brian Hardaker & Jock R. Anderson & John L. Dillon, 1984. "Perspectives On Assessing The Impacts Of Improved Agricultural Technologies In Developing Countries," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 28(2-3), pages 87-108, 08-12.
    4. Schoney, R. A., 1990. "An Analysis of Wheat Supply Response Under Risk and Uncertainty," Working Papers 244030, Agriculture and Agri-Food Canada.
    5. Langley, James A., 1983. "Regional acreage response functions for major US field crops: estimation and policy implications," ISU General Staff Papers 198301010800008678, Iowa State University, Department of Economics.
    6. Alston, Julian M. & Freebairn, John W. & James, Jennifer S., 2004. "Levy-funded research choices by producers and society," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 48(1), pages 1-32.
    7. Edwards, Geoff W. & Freebairn, John W., 1982. "The Social Benefits from an Increase in Productivity in a Part of an Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 50(02), pages 1-18, August.
    8. Brennan, John P. & Bantilan, Ma Cynthia S., 1999. "Impact of ICRISAT Research on Australian Agriculture," Research Reports 28006, New South Wales Department of Primary Industries Research Economists.
    9. Duc Huynh, Toan Luu & Burggraf, Tobias & Nasir, Muhammad Ali, 2020. "Financialisation of natural resources & instability caused by risk transfer in commodity markets," Resources Policy, Elsevier, vol. 66(C).
    10. Chembezi, Duncan M. & Womack, Abner W., 1992. "Regional Acreage Response For U.S. Corn And Wheat: The Effects Of Government Programs," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 24(1), pages 1-12, July.
    11. Burton, Diana M. & Love, H. Alan, 1996. "A Review of Alternative Expectations Regimes in Commodity Markets: Specification, Estimation, and Hypothesis Testing Using Structural Models," Agricultural and Resource Economics Review, Cambridge University Press, vol. 25(2), pages 213-231, October.
    12. Vernon Ruttan, 1980. "Bureaucratic productivity: The case of agricultural research," Public Choice, Springer, vol. 35(5), pages 529-547, January.
    13. Bailey, Kenneth W. & Womack, Abner W., 1985. "Wheat Acreage Response: A Regional Econometric Investigation," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 17(2), pages 1-10, December.
    14. Haile, M.G. & Kalkuhl, M., 2014. "Volatility in the international food markets: implications for global agricultural supply and for market and price policy," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 49, March.
    15. Yang, Wanhong & Khanna, Madhu & Farnsworth, Richard & Onal, Hayri, 2003. "Integrating economic, environmental and GIS modeling to target cost effective land retirement in multiple watersheds," Ecological Economics, Elsevier, vol. 46(2), pages 249-267, September.
    16. Salayo, Nerissa D., 2000. "Investment Opportunities for the Shrimp Processing Industry in the Philippines: Results from a Hedonic Analysis," Discussion Papers DP 2000-12, Philippine Institute for Development Studies.
    17. Ospina, Enrique & Shumway, C. Richard, 1979. "Disaggregated Analysis Of Short-Run Beef Supply Response," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 4(2), pages 1-18, December.
    18. Erasmus, Barend & van Jaarsveld, Albert & van Zyl, Johan & Vink, Nick, 2000. "The effects of climate change on the farm sector in the Western Cape," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 39(4), pages 1-15, December.
    19. Sanders, Dwight R. & Garcia, Philip & Manfredo, Mark R., 2008. "Information Content in Deferred Futures Prices: Live Cattle and Hogs," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 33(01), pages 1-12, April.
    20. Gardner, Bruce L., 2000. "International Trade And The Future Of American Agriculture," Journal of Agribusiness, Agricultural Economics Association of Georgia, vol. 18(01), pages 1-14, March.

    More about this item

    Keywords

    Agricultural and Food Policy;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:sojoae:30000. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/saeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.