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Abstract
This study aims at examining the resource allocation and
welfare implications of the reduction of barriers in the United States
market for Frozen Concentrated Orange Juice (FCOJ) imported from
Brazil. The present paper is organized as follows: section 2 presents an
overview of the main features of the market and current trade regime
for orange juice, as well as the possible impacts of liberalization within
FTAA and with the European Union; section 3 describes the partial
equilibrium model of imperfect substitute goods used to estimate the
impact of trade liberalization in the United States, on prices and quantities
and on welfare; in section 4 two possible scenarios for liberalization are
designed using the large country model. The last section summarizes
the main conclusions.