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Abstract
General equilibrium and open economy trade theory are used along with time series data on the U.S. agricultural sector to
provide insights into the structure of agricultural supply, factor returns and linkages to the rest of the economy. Output
expansion and factor returns are found to vary depending on relative factor intensities, which we refer to as Rybczynski and
Stolper-Samuelson like effects. The effect of the rest of the economy, particularly the increase in price of services, is found to
have relatively large negative impacts on agriculture. The short-run effects of prices and factor endowments on growth in
agricultural supply and factor returns are dominated by the long-run effects of technological change. © 1999 Elsevier Science
B.V. All rights reserved.