Price Equalisation in the Rice Industry and the Development of A Spatial Eqquilibrium Model

Previous studies have identified a number of economic implications associated with rice marketing arrangements. particularly price equalisation and cost and revenue pooling. The objective of this paper is to present a theoretical model of the NSW rice industry which indicates the areas of possible social gains and losses resulting from price equalisation. A description is given of a spatial equilibrium model of the rice industry which is being developed to estimate the extent of any social gains or losses.