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Achieving Environmental Objectives Under Reduced Domestic Agricultural Support and Trade Liberalization: An Empirical Application to Taiwan

Published online by Cambridge University Press:  15 September 2016

Hung-Hao Chang
Affiliation:
Department of Applied Economics and Management at Cornell University, Ithaca, New York
Richard N. Boisvert
Affiliation:
Department of Applied Economics and Management at Cornell University, Ithaca, New York
David Blandford
Affiliation:
Department of Agricultural Economics and Rural Sociology at the Pennsylvania State University
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Abstract

We focus on rice policy reform required for Taiwan's admission to the WTO, and examine the effects, theoretically and empirically, of the re-instrumentation of domestic policy needed to achieve environmental objectives when both positive and negative environmental externalities exist. Policies that treat non-commodity attributes in agriculture as secondary to existing aims, such as income support, are unlikely to result in the desired supplies of environmental goods. Those supplies can be achieved at lower government and social costs using policy instruments to achieve environmental goals directly. Results are relatively insensitive to the social values assigned to environmental goods.

Type
Contributed Papers
Copyright
Copyright © 2005 Northeastern Agricultural and Resource Economics Association 

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