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The Impact of Subsidies, Storage, and Exchange Rates on Exports of Canadian Fresh Carrots to the United States

Published online by Cambridge University Press:  10 May 2017

Ralph E. Bierlen  and
David Blandford
Ralph E. Bierlen
Affiliation:
Department of Agricultural Economics at Cornell University
David Blandford
Affiliation:
Department of Agricultural Economics at Cornell University
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Abstract

Canadian exports of fresh carrots to the United States have increased substantially in recent years. The depreciation of the Canadian dollar against the U.S. dollar has been a major factor. Canadian government subsidies also may have had an impact by accelerating the construction of cold storage facilities. These have permitted the marketing period to be extended. However, an analysis of costs and returns suggests that cold storage of carrots is commercially profitable. Storage capacity would probably have increased without government aid. The returns to storage and the change in exchange rates are the primary factors contributing to the expansion of Canadian exports.

Type
Articles
Information
Northeastern Journal of Agricultural and Resource Economics , Volume 16 , Issue 2 , October 1987 , pp. 123 - 129
Copyright
Copyright © 1987 Northeastern Agricultural and Resource Economics Association 

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References

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