Croser, JohannaAnderson, Kym2012-03-192012-03-192010-08-01https://hdl.handle.net/10986/3888Agricultural markets in OECD countries have long been highly distorted by government policies. Traditional weighted average aggregates of the price distortions involved, such as producer and consumer support estimates can be poor indicators of the trade restrictiveness and economic welfare losses associated with them, especially if a country's support estimates vary a lot across the product range. Certainly estimates of trade and welfare effects of price supports can be obtained from sector or economy-wide models using price elasticity estimates, but the results can be contentious if there is no consensus on what model specification and elasticity parameters to use. This paper shows that, if there is a willingness to accept simple assumptions about elasticities, it is possible to generate indicators of the welfare and trade restrictiveness of agricultural policies using no more than the price and quantity data needed to generate producer and consumer support estimates. These new indexes thus provide an attractive supplement to the current policy monitoring regime developed by the OECD Secretariat.CC BY 3.0 IGOABSOLUTE VALUEAGGREGATE TRADEAGRICULTURAL COMMODITIESAGRICULTURAL INCENTIVESAGRICULTURAL MARKETSAGRICULTURAL PRICEAGRICULTURAL PRICESAGRICULTURAL PRODUCTIONAGRICULTURAL PRODUCTSAGRICULTURAL SUPPORTAGRICULTURAL TRADEAGRICULTUREAVERAGE PRICEAVERAGE TARIFFBARLEYBORDER PRICEBORDER PROTECTIONCOARSE GRAINSCOMMODITIESCOMMODITYCONSUMER PRICECONSUMER PRICESCONSUMERSCOTTONDEVELOPING COUNTRIESDEVELOPING COUNTRYDEVELOPMENT ECONOMICSDIRECT PAYMENTSDOMESTIC CONSUMPTIONDOMESTIC DEMANDDOMESTIC DISTORTIONSDOMESTIC PRICEDOMESTIC PRODUCTIONECONOMETRIC ESTIMATESECONOMIC DEVELOPMENTECONOMIC EFFECTSECONOMIC MODELSECONOMIC POLICYECONOMIC WELFAREELASTICITY ASSUMPTIONEQUILIBRIUMEXCHANGE RATEEXCHANGE RATESEXPORT SUBSIDIESEXPORT TAX EQUIVALENTSEXPORT TAXESFACTOR MARKETSFAOFARMFARMERSFARMINGFOOD PRODUCTSFREE TRADEGARLICGENERAL EQUILIBRIUM MODELGLOBAL MARKETGLOBAL TRADEGRAINSIMPORT BARRIERSIMPORT PROTECTIONIMPORT TARIFFSINCOMEINCOMESINDEX NUMBERSINTERNATIONAL FOOD POLICY RESEARCH INSTITUTEINTERNATIONAL TRADEINTERNATIONAL TRADE POLICYLESS DEVELOPED COUNTRIESMAIZEMARKET INDEXESMARKET PRICEOILSEEDSOPEN ECONOMYOUTPUTPEASPEPPERPOULTRYPRICE CHANGEPRICE CHANGESPRICE DISTORTIONPRICE DISTORTIONSPRICE ELASTICITYPRICE ELASTICITY OF SUPPLYPRICE SUPPORTPRODUCER PRICEPRODUCER PRICESQUANTITATIVE RESTRICTIONSRARAPESEEDRYESORGHUMSOYBEANSUGARSUNFLOWERTARIFF DATATAXTAX RATETAXATIONTOBACCOTRADE ASSOCIATIONTRADE COSTSTRADE EFFECTSTRADE POLICIESTRADE POLICYTRADE TAXTRANSITION ECONOMIESTRANSPARENCYTROPICAL CROPSVEGETABLESVOLUME OF TRADEWELFARE IMPACTSWELFARE LOSSWELFARE LOSSESWHEATWTOWorld Bank10.1596/1813-9450-5404