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A Simulation Model of the U.S. Export Enhancement Program for Wheat

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  • Ann Hillberg Seitzinger
  • Philip L. Paarlberg

Abstract

Nash bargaining game models representing negotiations of Export Enhancement Program (EEP) sales are combined with a quarterly spatial price equilibrium model representing non-EEP world wheat trade to simulate the EEP's impact in late 1985 and early 1986. The benefits of the EEP in terms of increased U.S. export revenues adjusted for subsidy costs are estimated to be less than one percent of total U.S. revenues. For the first quarter of 1986, model simulations also show a lowering of the CCC loan rate to have a much greater potential for increasing U.S. wheat exports than the EEP as operated.

Suggested Citation

  • Ann Hillberg Seitzinger & Philip L. Paarlberg, 1990. "A Simulation Model of the U.S. Export Enhancement Program for Wheat," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(1), pages 95-103.
    • Handle: RePEc:oup:ajagec:v:72:y:1990:i:1:p:95-103.
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    File URL: http://hdl.handle.net/10.2307/1243148
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    Citations

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    Cited by:

    1. Pinelopi Koujianou Goldberg & Michael M. Knetter, 1997. "Causes and Consequences of the Export Enhancement Program for Wheat," NBER Chapters, in: The Effects of US Trade Protection and Promotion Policies, pages 273-296, National Bureau of Economic Research, Inc.
    2. Fuller, Frank Harland, 1996. "The location of marginal production for value-added and intermediate goods: optimal policies and trade volumes," ISU General Staff Papers 1996010108000012147, Iowa State University, Department of Economics.
    3. Patterson, Paul M. & Thor, Eric P., 1996. "Government Export Assistance: A Review and Secondary Analysis," Agricultural Commodity Promotion Policies and Programs in the Global Agri-Food System, May 26-27, 1996, Cancun, Mexico 279653, Regional Research Projects > NECC-63: Research Committee on Commodity Promotion.
    4. Elbehri, Aziz & Leetmaa, Susan E., 2001. "How Significant Are Export Subsidies To Agricultural Trade? Trade And Welfare Implications Of Global Reforms," 2001 Annual meeting, August 5-8, Chicago, IL 20518, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Chambers, Robert G. & Paarlberg, Philip L., 1989. "Are More Exports Always Better?: Comparing Cash and In-Kind Export Subsidies," Working Papers 197606, University of Maryland, Department of Agricultural and Resource Economics.
    6. Patterson, Paul M. & Abbott, Philip C. & Stiegert, Kyle W., 1996. "The Export Enhancement Program'S Influence On Firm-Level Competition In International Markets," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(1), pages 1-12, July.
    7. Daniel H. Pick & Timothy A. Park, 1991. "The Competitive Structure of U.S. Agricultural Exports," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(1), pages 133-141.

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