An appraisal of the effects of demand-increasing research in distorted market

Document Type

Journal article

Source Publication

Economic Analysis and Policy

Publication Date

3-1-1993

Volume

23

Issue

1

First Page

45

Last Page

58

Publisher

Economic Society of Australia Inc.

Abstract

In this paper economic models are developed for evaluating the size and the distribution of agricultural research benefits in markets distorted by government-induced price policies. In the empirical analysis the results with outcomes for a distorted market are compared with those for a free market. It is reported in the paper that the net benefits to country A from demand-increasing research may be larger or smaller in the presence of a price policy than under free trade, depending on the type of price distortion concerned. An implication of the analysis is that if the net benefits are larger with a free than with a distorted market, economic efficiency accruing to demand-enhancing research may be increased if the government eliminates such distortion.

DOI

10.1016/S0313-5926(93)50004-8

Print ISSN

03135926

Publisher Statement

Copyright © 1993 Economic Society of Australia (Queensland) Inc. Published by Elsevier B.V. All rights reserved. Access to external full text or publisher's version may require subscription.

Full-text Version

Publisher’s Version

Language

English

Recommended Citation

Voon, T. J. (1993). An appraisal of the effects of demand-increasing research in distorted market. Economic Analysis and Policy, 23(1), 45-58. doi: 10.1016/S0313-5926(93)50004-8

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