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Supply, Land Quality, and Policy

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  • Gallagher, Paul

Abstract

Recent reforms of the EC grain sector justify renewed interest in the supply ^alysis of producer policies that include a subsidy and a land reduction requirement. Some supply analysis accounts for simultaneous land control and producer payment (Houck and Ryan, Gallagher). However, econometric methods of supply analysis have limited usefulness when major policy changes occur (Weaver). Major changes have indeed occurred in Europe, 1. CAP reform, introducing producer subsidies, low ?? price and set-aside. 2, Transition from central planning. But land quality is an important dimension of producer's participation decisions (Brooks et al.). And the implications of producers with marginal land on market supply still require discussion. The potential for domestic supply distortions and price stability are relevant if trade agreements include such policies.

Suggested Citation

  • Gallagher, Paul, 1995. "Supply, Land Quality, and Policy," ISU General Staff Papers 199502010800001262, Iowa State University, Department of Economics.
    • Handle: RePEc:isu:genstf:199502010800001262
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    References listed on IDEAS

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    1. J. P. Houck & M. E. Ryan, 1972. "Supply Analysis for Corn in the United States: The Impact of Changing Government Programs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 54(2), pages 184-191.
    2. Houck, James P. & Ryan, Mary E., 1972. "Supply Analysis For Corn In The United States: The Impact Of Changing Government Programs," Staff Papers 13554, University of Minnesota, Department of Applied Economics.
    3. Bureau, Jean Christophe & Butault, Jean-Pierre & Hoque, Anwarul, 1992. "International Comparisons of Costs of Wheat Production in the EC and United States," Staff Reports 278676, United States Department of Agriculture, Economic Research Service.
    4. H.G. Brooks & Satheesh V. Aradhyula & S.R. Johnson, 1992. "Land Quality and Producer Participation in U.S. Commodity Programs," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 14(1), pages 105-115.
    5. Brooks, H. G. & Aradhyula, Satheesh V. & Johnson, Stanley R., 1992. "Land Quality and Producer Participation in U.S. Commodity Programs," Staff General Research Papers Archive 470, Iowa State University, Department of Economics.
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