© 1989 Oxford University Press and the Foundation for the European Review of Agricultural Economics
research-article |
A simulation model of the US export enhancement program for wheat in the presence of an EC response
Institut für Agrarökonomie, Göttingen; Agricultural Economics Dept.;Dept. of Agricultural Economics, Purdue University
Received May 1, 1989;
Summary
A quarterly spatial price equilibrium model of world wheat trade combined with Nash bargaining game models is employed to examine the effects of targeting European Community export markets under the United States' Export Enhancement Program (EEP). An EC response protecting the volume of EC wheat exports for the quarter January to March 1986 is shown to lead to export revenues for both the US and the EC slightly below those obtained in the absence of the EEP.