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North American tomato market: a spatial equilibrium perspective

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  • Ramon Guajardo
  • Homero Elizondo

Abstract

This paper studies the North American tomato market in a world market perspective. For this purpose a spatial equilibrium model with endogenous prices is constructed and solved by quadratic mathematical programming method. Six scenarios involving the impacts from transportation costs, tariffs, and North American Free Trade Agreement (NAFTA) were modelled. The solutions illustrate their impacts on production, consumption, trade flows, prices, and net social welfare. Due to NAFTA, Mexico became the main tomato exporter to the USA.

Suggested Citation

  • Ramon Guajardo & Homero Elizondo, 2003. "North American tomato market: a spatial equilibrium perspective," Applied Economics, Taylor & Francis Journals, vol. 35(3), pages 315-322.
    • Handle: RePEc:taf:applec:v:35:y:2003:i:3:p:315-322
    DOI: 10.1080/00036840110101438
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    Cited by:

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    2. Lee, Jun & Gomez, Miguel I., 2011. "Impact of CO2 Emission Policies on Food Supply Chain: Application to the U.S. Apple Sector," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103813, Agricultural and Applied Economics Association.
    3. Mustafa TERIN & Fahri YAVUZ, 2017. "A spatial equilibrium analysis for the possible regional impacts of the European Union full membership on the Turkey's dairy industry," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 63(4), pages 185-196.
    4. Ramón G. Guajardo Quiroga & Pedro A. Villezca Becerra, 2004. "Impacto de la apertura comercial de México y de su integración en bloques comerciales en el mercado mundial del limón," Estudios Económicos, El Colegio de México, Centro de Estudios Económicos, vol. 19(1), pages 61-92.
    5. Dorward, Andrew & Morrison, Jamie & Robinson, Sherman & Tchale, Hardwick, 2004. "Differential Household Responses in a Poor Agricultural Economy: Implications for Agricultural Policy Analysis," Conference papers 331282, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    6. Yakubu Abdul-Salam, 2019. "Evaluating the Impact of Brexit on Natural Gas Trade between the UK and the EU – A Spatial Equilibrium Analysis," CEERP Working Paper Series 008, Centre for Energy Economics Research and Policy, Heriot-Watt University.
    7. Jansson, Torbjörn & Heckelei, Thomas, 2009. "A new estimator for trade costs and its small sample properties," Economic Modelling, Elsevier, vol. 26(2), pages 489-498, March.
    8. Torbjorn Jansson, 2000. "Estimating Prices and Excess Demand and Trade Costs in a Spatial Price Equilibrium Model," Regional and Urban Modeling 283600040, EcoMod.
    9. Stephen Devadoss & Angel Aguiar, 2006. "Effects of global trade liberalization on softwood lumber markets," Applied Economics, Taylor & Francis Journals, vol. 38(20), pages 2351-2360.
    10. Jansson, Torbjorn, 2005. "Two Ways of Estimating a Transport Model," Discussion Papers 18787, University of Bonn, Institute for Food and Resource Economics.
    11. Jansson, Torbjorn, 2005. "Two ways of estimating a transport model," 2005 Annual meeting, July 24-27, Providence, RI 19473, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    12. Stephen Devadoss & Elijah Kosse, 2020. "Political economy of the US–Mexican tomato trade agreement," The World Economy, Wiley Blackwell, vol. 43(4), pages 1059-1075, April.
    13. Kosse, Elijah & Devadoss, Stephen, 2016. "Welfare Analysis of the U.S.-Mexican Tomato Suspension Agreement," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252726, Southern Agricultural Economics Association.

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