IDEAS home Printed from https://ideas.repec.org/a/oup/erevae/v50y2023i1p59-83..html
   My bibliography  Save this article

A welfare analysis of Norway’s export promotion programme for whitefish

Author

Listed:
  • Henry W Kinnucan
  • Abhipsita Das
  • Ingrid Kristine Pettersen

Abstract

Norway recently increased the effective levy used to fund its export promotion programme for whitefish by 21 per cent. Study results suggest the intensified programme is welfare increasing. The net social gain, defined as the difference between the increase in economic surplus associated with the increased advertising and the decrease in economic surplus associated with the increased effective levy, is estimated at between $20 million and $136 million per year, for a best-bet estimate $60 million. The associated benefit–cost ratio (BCR), defined as the ratio of the aforementioned changes in economic surplus, is estimated at between 11 and 71, for a best-bet estimate of 32. The BCR is invariant to the supply elasticity. The invariance property is useful as it implies that the BCR can be estimated using strictly demand-side information; there is no need to estimate the supply side of the market. The current levy of 0.75 per cent appears to be well below the levy that would maximise producer welfare.

Suggested Citation

  • Henry W Kinnucan & Abhipsita Das & Ingrid Kristine Pettersen, 2023. "A welfare analysis of Norway’s export promotion programme for whitefish," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 50(1), pages 59-83.
    • Handle: RePEc:oup:erevae:v:50:y:2023:i:1:p:59-83.
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/erae/jbab044
    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.

    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:erevae:v:50:y:2023:i:1:p:59-83.. 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/eaaeeea.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.