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Abstract

Do export promotion and related market development programs successfully achieve their objectives? Are they cost effective and a profitable investment of public funds (Kaiser et al., 2005)? This article highlights recent research that assesses how the United States economy is affected by private- and taxpayer-funded promotion activities. Recent studies suggest that U.S. market development programs, which promote U.S. agricultural exports and producer welfare, also have positive net effects on the rest of the economy as measured by changes in GDP and jobs. Private-sector contributions to these programs have been growing, and these efforts may become more necessary as products become further differentiated and specialized.

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