IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v47y1965i2p242-255..html
   My bibliography  Save this article

The Social Cost of the Tobacco Program

Author

Listed:
  • Paul R. Johnson

Abstract

With the use of the traditional welfare tools of consumers' and producers' surplus, a complete accounting of welfare gains and losses for flue-cured tobacco has been made. An aspect of the flue-cured tobacco market has been the strong monopoly position of the U. S. in world trade. The price increasing feature of the tobacco program has provided the U. S. with a monopoly rent from foreign sales—part of which offsets the traditional welfare losses associated with price support programs. Some evidence on the cost of restricting one input is presented. Though the social cost of the program has been small, the longer run implications are that transferring income to tobacco producers will become more costly in terms of lost producer and consumer surplus.

Suggested Citation

  • Paul R. Johnson, 1965. "The Social Cost of the Tobacco Program," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 47(2), pages 242-255.
    • Handle: RePEc:oup:ajagec:v:47:y:1965:i:2:p:242-255.
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.2307/1236572
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Johnson, James D. & Baum, Kenneth & Clauson, Annette L., 0. "Income And Asset Valuation Effects Of Food And Agricultural Policy - A Perspective On Data And Analysis," Increasing Understanding of Public Problems and Policies, Farm Foundation.
    2. Piggott, Roley R., . "Agricultural Selling Cartels: Relative Co-Operator And Non-Cooperator Gains," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 25(1), pages 1-16.
    3. Schmitz Andrew & Schmitz Troy G., 2010. "Benefit-Cost Analysis: Distributional Considerations under Producer Quota Buyouts," Journal of Benefit-Cost Analysis, De Gruyter, vol. 1(1), pages 1-15, July.
    4. Schmitz, Troy G. & Schmitz, Andrew, 2012. "The Complexities of the Interface between Agricultural Policy and Trade," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 13(1), pages 1-12, February.
    5. Julian M. Alston & Davide Gaeta, 2021. "Reflections on the Political Economy of European Wine Appellations," Italian Economic Journal: A Continuation of Rivista Italiana degli Economisti and Giornale degli Economisti, Springer;Società Italiana degli Economisti (Italian Economic Association), vol. 7(2), pages 219-258, July.
    6. Bullock, David S. & Salhofer, Klaus, 2003. "Judging agricultural policies: a survey," Agricultural Economics, Blackwell, vol. 28(3), pages 225-243, May.
    7. Weindlmaier, H., 1977. "Zur wohlfahrtsökonomischen Interpretation der Ergebnisse räumlicher Gleichgewichtsmodelle," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 14.
    8. Beck, Anthony C., 1974. "The Social Cost On Production Control In The Australian Egg Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 42(04), pages 1-17, December.
    9. Buxton, Boyd M. & Hammond, Jerome W., 1973. "Social Cost Of The Dairy Price Support Program," Staff Papers 13738, University of Minnesota, Department of Applied Economics.
    10. Brandow, G.E., 1977. "PART III. Policy for Commerical Agriculture, 1945-71," AAEA Monographs, Agricultural and Applied Economics Association, number 337215, january.
    11. Alston, Julian M., 1986. "Consequences of Deregulation in the Victorian Egg Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 54(01), pages 1-11, April.
    12. Alson, Julian M. & Hurd, Brian R., 1988. "The Hidden Social Costs Of Government Spending In Farm Programs," Working Papers 225823, University of California, Davis, Department of Agricultural and Resource Economics.
    13. Barnett, Barry J. & Skees, Jerry, 1991. "Ascs Program Yields: Policy Implications For Regional Resource Allocation And Crop Insurance," 1991 Annual Meeting, August 4-7, Manhattan, Kansas 271155, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    14. Johnson, Ruth C. & McManus, B.R., 1979. "A Theoretical Framework For Analyzing Social Costs Of The Tobacco Program," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 11(2), pages 1-4, December.
    15. Semos, Anastasios V., 2001. "Estimation of Producer's Assistance and Evaluation of Agricultural Policy for Olive Oil in Greece," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 2(2), pages 1-12, August.
    16. Seagraves, James A. & Manning, Richard C., 1967. "Flue-Cured Tobacco Allotment Values And Uncertainty, 1934-1962," Department of Economics and Business - Archive 259726, North Carolina State University, Department of Economics.

    More about this item

    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:oup:ajagec:v:47:y:1965:i:2:p:242-255.. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Oxford University Press (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.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.