Some Old Truths Revisited

Abstract

The primary objective in this paper is to 'promote' the use of equilibrium displacement modelling, or comparative static analyses of general function models, as a research tool in agricultural price and policy analyses This is by no means a new tool, but it does seem to be used much less in Australia than it is in the US where it has been the basis of several important journal papers in recent times. The paper includes applications to: (a) reproduce important results obtained by Buse (1958) regarding total elasticities; and (b) examine the price premium argument that has been advanced in favour of single-desk selling arrangements. The latter is the secondary objective in the paper. Whilst equilibrium displacement modelling has its shortcomings, it is a research tool that can provide useful results with few assumptions. It can be a substitute for econometric modelling when resource and time constraints are binding. The application to the price-premium argument rc-confirms the doubts that many analysts have expressed about singlc-desk selling.

Beggar‐Thy‐Neighbor Advertising: Theory and Application to Generic Commodity Promotion Programs

“…Initially, a 2 Intuitively, to account for such cross-commodity price feedback effects amounts essentially to using a Buse-type "total" own-price elasticity of demand rather than a conventional "partial" elasticity in the optimal advertising rule from a single-market model. Such elasticities are discussed by Piggott (1992). 3 Other than noting the effects on consumer prices and quantities, no assessment of the consumer welfare effects of advertising is considered in this article.…”

Impactos potenciais do Protocolo de Cartagena sobre biossegurança nas exportações brasileiras de soja

“…Piggott (1992) ressalta três características principais desse método: (i) um determinado mercado é representado por um sistema de equações de oferta, demanda e condições de equilíbrio, que são apresentadas de forma geral; (ii) o mercado é perturbado por mudanças nos valores de variáveis exógenas, as quais são modeladas como deslocadoras da oferta e demanda iniciais; e (iii) os impactos decorrentes dessas mudanças são estimados por combinações lineares do produto das variáveis exógenas e suas respectivas elasticidades.…”

Markets segmented by regional-origin labelling with quality control

“…The EDM methodology was originally proposed by MUTH (1964) and reviewed by PIGGOTT (1992) and ALSTON, NORTON and PARDEY (1995). The objective of the EDM approach applied in this study is to model the producer price and welfare effects and their implications for state-financed regional-origin programs of qualitydifferentiated products and regionally segmented markets.…”

“…2, Council Regulation No. 2081/1992. The PGI covers a product where at least one of the stages -production, processing, or preparationoccurs in the designated area.…”