Files

Abstract

Different sectors of the Norwegian food industry have diverging trade interests. Owing to climatic disadvantage, agriculture depends on substantial support to keep up production. Fisheries and fish farming, on the other hand, are profitable industries hampered by trade restrictions in the export markets. A special purpose comparative static AGE model is employed to highlight these diverging interests and to consider economy-wide costs of the food trade restrictions. The study suggests that a 66% drop in subsidies and tariffs may elevate household economic welfare by 2% to 5%. Less budget support to the farmers and lower food prices are the main sources of this gain, as well as higher rents in fisheries and fish farming.

Details

PDF

Statistics

from
to
Export
Download Full History