Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis
This paper presents an agriculture-focused computable general equilibrium model that can be used to analyze the economy-wide impacts of changes in technology, market structure, and the foreign exchange rate on resource allocation, production, and trade in Indonesia. The model includes a specificatio...
| Autores principales: | , , |
|---|---|
| Formato: | Artículo preliminar |
| Lenguaje: | Inglés |
| Publicado: |
International Food Policy Research Institute
1998
|
| Materias: | |
| Acceso en línea: | https://hdl.handle.net/10568/161250 |
| _version_ | 1855524472220549120 |
|---|---|
| author | Robinson, Sherman El-Said, Moataz San, Nu Nu |
| author_browse | El-Said, Moataz Robinson, Sherman San, Nu Nu |
| author_facet | Robinson, Sherman El-Said, Moataz San, Nu Nu |
| author_sort | Robinson, Sherman |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | This paper presents an agriculture-focused computable general equilibrium model that can be used to analyze the economy-wide impacts of changes in technology, market structure, and the foreign exchange rate on resource allocation, production, and trade in Indonesia. The model includes a specification of the rice market and the government price-support, stocking, and trade policies for rice. Using a mixed complementarity approach, the model incorporates inequalities and changes in policy regime as prices and/or stocks move within specified bands. The model is used to examine the impact on the Indonesian economy of changes in rice yield and exchange rates given different assumptions about the operations of BULOG (National Logistic Agency). An important result is that there is inefficient allocation of resources within agriculture and the rest of the economy if BULOG operates to maintain the rice price when there are significant increases in rice productivity or changes in the exchange rate. With increased productivity in rice, the price support scheme retains resources in rice production that would be better used in other, high value, agriculture. With devaluation, maintaining a low rice price discriminates against rice producers and hence slows the process of structural adjustment. In addition, the price support program is costly and strains the government accounts, even if the administrative costs of operating the program are ignored. |
| format | Artículo preliminar |
| id | CGSpace161250 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 1998 |
| publishDateRange | 1998 |
| publishDateSort | 1998 |
| publisher | International Food Policy Research Institute |
| publisherStr | International Food Policy Research Institute |
| record_format | dspace |
| spelling | CGSpace1612502025-11-06T06:08:46Z Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis Robinson, Sherman El-Said, Moataz San, Nu Nu econometrics rice marketing trade policies price policy computable general equilibrium models This paper presents an agriculture-focused computable general equilibrium model that can be used to analyze the economy-wide impacts of changes in technology, market structure, and the foreign exchange rate on resource allocation, production, and trade in Indonesia. The model includes a specification of the rice market and the government price-support, stocking, and trade policies for rice. Using a mixed complementarity approach, the model incorporates inequalities and changes in policy regime as prices and/or stocks move within specified bands. The model is used to examine the impact on the Indonesian economy of changes in rice yield and exchange rates given different assumptions about the operations of BULOG (National Logistic Agency). An important result is that there is inefficient allocation of resources within agriculture and the rest of the economy if BULOG operates to maintain the rice price when there are significant increases in rice productivity or changes in the exchange rate. With increased productivity in rice, the price support scheme retains resources in rice production that would be better used in other, high value, agriculture. With devaluation, maintaining a low rice price discriminates against rice producers and hence slows the process of structural adjustment. In addition, the price support program is costly and strains the government accounts, even if the administrative costs of operating the program are ignored. 1998 2024-11-21T09:54:26Z 2024-11-21T09:54:26Z Working Paper https://hdl.handle.net/10568/161250 en Open Access application/pdf International Food Policy Research Institute Robinson, Sherman; El-Said, Moataz; San, Nu Nu. 1998. Rice policy, trade, and exchange rate changes in Indonesia;a general equilibrium analysis. TMD Discussion Paper 27. https://hdl.handle.net/10568/161250 |
| spellingShingle | econometrics rice marketing trade policies price policy computable general equilibrium models Robinson, Sherman El-Said, Moataz San, Nu Nu Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title | Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title_full | Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title_fullStr | Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title_full_unstemmed | Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title_short | Rice policy, trade, and exchange rate changes in Indonesia: a general equilibrium analysis |
| title_sort | rice policy trade and exchange rate changes in indonesia a general equilibrium analysis |
| topic | econometrics rice marketing trade policies price policy computable general equilibrium models |
| url | https://hdl.handle.net/10568/161250 |
| work_keys_str_mv | AT robinsonsherman ricepolicytradeandexchangeratechangesinindonesiaageneralequilibriumanalysis AT elsaidmoataz ricepolicytradeandexchangeratechangesinindonesiaageneralequilibriumanalysis AT sannunu ricepolicytradeandexchangeratechangesinindonesiaageneralequilibriumanalysis |