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Reducing Distortions to Agricultural Incentives

Reducing Distortions to Agricultural Incentives PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN:
Category : Agribusiness
Languages : en
Pages : 35

Book Description
Most of the world's poorest people depend on farming for their livelihood. Earnings from farming in low-income countries are depressed partly due to a pro-urban bias in own-country policies, and partly because richer countries (including some developing countries) favor their farmers with import barriers and subsidies. Both sets of policies reduce national and global economic growth and add to inequality and poverty in developing countries. Acknowledgement of that since the 1980s has given rise to greater pressures for reform, both internal and external. Over the past two decades numerous developing country governments have reduced their sectoral and trade policy distortions, while many high-income countries continue with protectionist policies that harm developing country exports of farm products. Recent research suggests that the agricultural protectionist policies of high-income countries reduce welfare in many developing countries. Most of those studies also suggest that full global liberalization of merchandise trade would raise value added in agriculture in developing country regions, and that much of the benefit from global reform would come not just from reform in high-income countries but also from liberalization among developing countries, including in many cases own-country reform. These findings raise three key questions that are addressed in this paper: To what extent have the reforms of the past two decades succeeded in reducing distortions to agricultural incentives? Do current policy distortions still discriminate against farmers in low-income countries? And what are the prospects for further reform in the next decade or so?

Reducing Distortions to Agricultural Incentives

Reducing Distortions to Agricultural Incentives PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN:
Category : Agribusiness
Languages : en
Pages : 35

Book Description
Most of the world's poorest people depend on farming for their livelihood. Earnings from farming in low-income countries are depressed partly due to a pro-urban bias in own-country policies, and partly because richer countries (including some developing countries) favor their farmers with import barriers and subsidies. Both sets of policies reduce national and global economic growth and add to inequality and poverty in developing countries. Acknowledgement of that since the 1980s has given rise to greater pressures for reform, both internal and external. Over the past two decades numerous developing country governments have reduced their sectoral and trade policy distortions, while many high-income countries continue with protectionist policies that harm developing country exports of farm products. Recent research suggests that the agricultural protectionist policies of high-income countries reduce welfare in many developing countries. Most of those studies also suggest that full global liberalization of merchandise trade would raise value added in agriculture in developing country regions, and that much of the benefit from global reform would come not just from reform in high-income countries but also from liberalization among developing countries, including in many cases own-country reform. These findings raise three key questions that are addressed in this paper: To what extent have the reforms of the past two decades succeeded in reducing distortions to agricultural incentives? Do current policy distortions still discriminate against farmers in low-income countries? And what are the prospects for further reform in the next decade or so?

Reducing Distortions to Agricultural Incentives

Reducing Distortions to Agricultural Incentives PDF Author: Kym Anderson
Publisher:
ISBN:
Category :
Languages : en
Pages :

Book Description
Most of the world's poorest people depend on farming for their livelihood. Earnings from farming in low-income countries are depressed partly due to a pro-urban bias in own-country policies, and partly because richer countries (including some developing countries) favor their farmers with import barriers and subsidies. Both sets of policies reduce national and global economic growth and add to inequality and poverty in developing countries. Acknowledgement of that since the 1980s has given rise to greater pressures for reform, both internal and external. Over the past two decades numerous developing country governments have reduced their sectoral and trade policy distortions, while many high-income countries continue with protectionist policies that harm developing country exports of farm products. Recent research suggests that the agricultural protectionist policies of high-income countries reduce welfare in many developing countries. Most of those studies also suggest that full global liberalization of merchandise trade would raise value added in agriculture in developing country regions, and that much of the benefit from global reform would come not just from reform in high-income countries but also from liberalization among developing countries, including in many cases own-country reform. These findings raise three key questions that are addressed in this paper: To what extent have the reforms of the past two decades succeeded in reducing distortions to agricultural incentives? Do current policy distortions still discriminate against farmers in low-income countries? And what are the prospects for further reform in the next decade or so?

Distortions to Agricultural Incentives in Africa

Distortions to Agricultural Incentives in Africa PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN: 0821376640
Category : Political Science
Languages : en
Pages : 656

Book Description
The vast majority of the world s poorest households depend on farming for their livelihoods. During the 1960s and 1970s, most developing countries imposed pro-urban and anti-agricultural policies, while many high-income countries restricted agricultural imports and subsidized their farmers. Both sets of policies inhibited economic growth and poverty alleviation in developing countries. Although progress has been made over the past two decades to reduce those policy biases, many trade- and welfare-reducing price distortions remain between agriculture and other sectors and within the agricultural sector of both rich and poor countries. Comprehensive empirical studies of the disarray in world agricultural markets appeared approximately 20 years ago. Since then, the Organisation for Economic Co-operation and Development has provided estimates each year of market distortions in high-income countries, but there have been no comparable estimates for the world s developing countries. This volume is the third in a series (other volumes cover Asia, Europe s transition economies, and Latin America and the Caribbean) that not only fills that void for recent years but extends the estimates in a consistent and comparable way back in time and provides analytical narratives for scores of countries that shed light on the evolving nature and extent of policy interventions over the past half-century. 'Distortions to Agricultural Incentives in Africa' provides an overview of the evolution of distortions to agricultural incentives caused by price and trade policies in the Arab Republic of Egypt plus 20 countries that account for about of 90 percent of Sub-Saharan Africa s population, farm households, agricultural output, and overall GDP. Sectoral, trade, and exchange rate policies in the region have changed greatly since the 1950s, and there have been substantial reforms since the 1980s. Nonetheless, numerous price distortions in this region remain, others have been added in recent years, and there has also been some backsliding, such as in Zimbabwe. The new empirical indicators in these country studies provide a strong evidence-based foundation for assessing the successes and failures of the past and for evaluating policy options for the years ahead.

Distortions to Agricultural Incentives in Europe's Transition Economies

Distortions to Agricultural Incentives in Europe's Transition Economies PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN: 0821374206
Category : Political Science
Languages : en
Pages : 402

Book Description
The vast majority of the world's poorest households depend on farming for their livelihood. During the 1960s and 1970s, most developing countries imposed pro-urban and anti-agricultural policies, while many high-income countries restricted agricultural imports and subsidized their farmers. Both sets of policies inhibited economic growth and poverty alleviation in developing countries. Although progress has been made over the past two decades to reduce those policy biases, many trade- and welfare-reducing price distortions remain between agriculture and other sectors as well as within the agricultural sector of both rich and poor countries. Comprehensive empirical studies of the disarray in world agricultural markets first appeared approximately 20 years ago. Since then the OECD has provided estimates each year of market distortions in high-income countries, but there has been no comparable estimates for the world's developing countries. This volume is the first in a series (other volumes cover Africa, Asia, and Latin America) that not only fill that void for recent years but extend the estimates in a consistent and comparable way back in time--and provide analytical narratives for scores of countries that shed light on the evolving nature and extent of policy interventions over the past half-century. 'Distortions to Agricultural Incentives in Europe's Transition Economies' provides an overview of the evolution of distortions to agricultural incentives caused by price and trade policies in the economies of Eastern Europe and Central Asia that are transitioning away from central planning. The book includes country and subregional studies of the ten transition economies of Central and Eastern Europe that joined the European Union in 2004 or 2007, of seven other large member countries of the Commonwealth of Independent States, and of Turkey. Together these countries comprise over 90 percent of the Europe and Central Asia region's population and GDP. Sectoral, trade, and exchange rate policies in the region have changed greatly since the dissolution of the Soviet Union in 1991, but price distortions remain. The new empirical indicators in these country studies provide a strong evidence-based foundation for evaluating policy options in the years ahead.

Distortions to Agricultural Incentives in Asia

Distortions to Agricultural Incentives in Asia PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN: 0821376632
Category : Political Science
Languages : en
Pages : 606

Book Description
The vast majority of the world's poorest households depend on farming for their livelihoods. During the 1960s and 1970s, most developing countries imposed pro-urban and anti-agricultural policies, while many high-income countries restricted agricultural imports and subsidized their farmers. Both sets of policies inhibited economic growth and poverty alleviation in developing countries. Although progress has been made over the past two decades to reduce those policy biases, many trade- and welfare-reducing price distortions remain between agriculture and other sectors and within the agricultural sector of both rich and poor countries. Comprehensive empirical studies of the disarray in world agricultural markets appeared approximately 20 years ago. Since then, the Organisation for Economic Co-operation and Development had provided estimates each year of market distortions in high-income countries, but there have been no comparable estimates for the world's developing countries. This volume is the third in a series (other volumes cover Africa, Europe's transition economices, and Latin America and the Caribbean) that not only fills that void for recent years but extends the estimates in a consistent and comparable way back in time and provides analytical narratives for scores of countries that shed light on the evolving nature and extent of policy interventions over the past half-century. 'Distortions to Agricultural Incentives in Asia' provides an overview of the evolution of distortions to agricultural incentives caused by price and trade policies in the 12 largest economies of East and South Asia. Together these countries constitute more than 95 percent of the region's population, agricultural output, and overall GDP. Sectoral, trade, and exchange rate policies in the region have changed greatly since the 1950s, and there have been substantial reforms since the 1980s, most notably in China and India. Nonetheless, numerous price distortions in this region remain and others have added in recent years. The new empirical indicators in these country studies provide a strong evidence-based foundation for assessing the successes and failures of the past and for evaluating policy options for the years ahead.

Distortions to Agricultural Incentives in Latin America

Distortions to Agricultural Incentives in Latin America PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN: 0821375148
Category : Political Science
Languages : en
Pages : 434

Book Description
The vast majority of the world's poorest households depend on farming for their livelihood. During the 1960s and 1970s, most developing countries imposed pro-urban and anti-agricultural policies, while many high-income countries restricted agricultural imports and subsidized their farmers. Both sets of policies inhibited economic growth and poverty alleviation in developing countries. Although progress has been made over the past two decades to reduce those policy biases, many trade- and welfare-reducing price distortions remain between agriculture and other sectors as well as within the agricultural sector of both rich and poor countries. Comprehensive empirical studies of the disarray in world agricultural markets first appeared approximately 20 years ago. Since then the OECD has provided estimates each year of market distortions in high-income countries, but there has been no comparable estimates for the world's developing countries. This volume is the second in a series (other volumes cover Africa, Asia, and Europe's transition economies) that not only fills that void for recent years but extends the estimates in a consistent and comparable way back in time and provides analytical narratives for scores of countries that shed light on the evolving nature and extent of policy interventions over the past half-century. 'Distortions to Agricultural Incentives in Latin America' provides an overview of the evolution of distortions to agricultural incentives caused by price and trade policies in the economies of South America, plus the Dominican Republic, Nicaragua, and Mexico. Together these countries constitute about 80 percent of the region's population, agricultural output, and overall GDP. Sectoral, trade, and exchange rate policies in the region have changed greatly since the 1950s, and there have been substantial reforms, especially in the 1980s. Nonetheless, numerous price distortions in this region remain, others have been added, and there have even been some policy reversals in recent years. The new empirical indicators in these country studies provide a strong evidence-based foundation for assessing the successes and failures of the past and for evaluating policy options for the years ahead.

Measuring Distortions to Agricultural Incentives, Revisited

Measuring Distortions to Agricultural Incentives, Revisited PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN:
Category : Agricultural Incentives
Languages : en
Pages : 45

Book Description
Abstract: Notwithstanding the tariffication component of the Uruguay Round Agreement on Agriculture, import tariffs on farm products continue to provide an incomplete indication of the extent to which agricultural producer and consumer incentives are distorted in national markets. Especially in developing countries, non-agricultural policies indirectly impact agricultural and food markets. Empirical analysis aimed at monitoring distortions to agricultural incentives thus need to examine both agricultural and non-agricultural policy measures including import or export taxes, subsidies and quantitative restrictions, plus domestic taxes or subsidies on farm outputs or inputs and consumer subsidies for food staples. This paper addresses the practical methodological issues that need to be faced when attempting to undertake such a measurement task in developing countries. The approach is illustrated in two ways: by presenting estimates of nominal and relative rates of assistance to farmers in China for the period 1981 to 2005; and by summarizing estimates from an economy-wide computable general equilibrium model of the effects on agricultural versus non-agricultural markets of the project's measured distortions globally as of 2004.

Distortions to Agricultural Incentives

Distortions to Agricultural Incentives PDF Author: Kym Anderson
Publisher: World Bank Publications
ISBN: 0821376667
Category : Business & Economics
Languages : en
Pages : 682

Book Description
This volume in the 'Distortions to Agricultural Incentives' series focus on distortions to agricultural incentives from a global perspective.

Five Decades of Distortions to Agricultural Incentives

Five Decades of Distortions to Agricultural Incentives PDF Author: Kym Anderson
Publisher:
ISBN:
Category :
Languages : en
Pages :

Book Description
This chapter begins with a brief summary of the long history of national distortions to agricultural markets. It then outlines the methodology used to generate annual indicators of the extent of government interventions in markets, details of which are provided in Anderson and appendix A.A description of the economies under study and their economic growth and structural changes over recent decades is then briefly presented as a preface to the main section of the chapter, in which the nominal rates of assistance and consumer tax equivalents (NRA and CTE) estimates are summarized across regions and over the decades since the 1950s. These estimates are discussed in far more detail in the regional chapters that follow. A summary is also provided of an additional set of indicators of agricultural price distortions presented in chapter eleven that are based on the trade restrictiveness index first developed by Anderson and Neary (2005). In chapter twelve the focus shifts from countries to commodities, and all the various distortion indicators are used to provide a sense of how distorted are each of the key farm commodity markets globally. Then chapter thirteen uses the study's NRA and CTE estimates to provide a new set of results from a global economy-wide model that attempts to quantify the impacts on global markets, net farm incomes and welfare of the reforms since the early 1980s and of the policies still in place as of 2004. The chapter concludes by drawing on the lessons learned to speculate on the prospects for further reducing the disarray in world agricultural markets.

Distortions of Agricultural Incentives

Distortions of Agricultural Incentives PDF Author: Theodore William Schultz
Publisher:
ISBN:
Category : Business & Economics
Languages : en
Pages : 360

Book Description
Collection of conference papers on agricultural policies constituting obstacles to increased food production and agricultural development (green revolution) in developing countries - discusses the impact of agricultural investment and price policies, the role of international markets in regulating agricultural price and trade, the development of agricultural research, role of basic needs approaches, etc. In relation to improving incentives for farmers. Bibliographys, graphs and statistical tables. Conference held in boston 1977.