TY - JOUR
T1 - Evaluating welfare effects of rice import quota in Japan
T2 - Based on measuring non-tariffbarriers of SBS rice imports
AU - Gao, Qianhui
AU - Ito, Shoichi
AU - Ogundari, Kolawole
AU - Saito, Hisamitsu
N1 - Publisher Copyright:
© 2016 by the authors; licensee MDPI, Basel, Switzerland.
Copyright:
Copyright 2017 Elsevier B.V., All rights reserved.
PY - 2016/8/19
Y1 - 2016/8/19
N2 - The principal objective of this study is to analyze welfare effects of Japan's rice import quota focusing on the simultaneous buy and sell (SBS) of the rice importation minimum access (MA) policy. Based on the utility function specified in this study, the constructed model is adopted to measure consumption patterns through estimating elasticity of substitution between imported rice and Japan's domestic rice, and consumers' preference parameters for different kinds of rice. The results showed that Japanese households prefer domestic rice to the imported rice. Besides, three scenarios of adjusting rice quota volumes were carried out to examine the changes in consumer prices of imported rice and Japanese consumers' welfares. The results revealed that tariffequivalents of the SBS import quota almost doubled the scale of the mark-up, and the intervention by the Ministry of Agriculture of Japan did cause non-tariffbarriers to trade (NTBs). Finally, if the SBS rice quota quantity was fixed at or larger than 180 thousand tons every fiscal year, the consumer prices of imported rice in Japan's market would decrease to be less than the prices of Japan's domestic rice, and therefore the imported rice would have more price advantages in this scenario.
AB - The principal objective of this study is to analyze welfare effects of Japan's rice import quota focusing on the simultaneous buy and sell (SBS) of the rice importation minimum access (MA) policy. Based on the utility function specified in this study, the constructed model is adopted to measure consumption patterns through estimating elasticity of substitution between imported rice and Japan's domestic rice, and consumers' preference parameters for different kinds of rice. The results showed that Japanese households prefer domestic rice to the imported rice. Besides, three scenarios of adjusting rice quota volumes were carried out to examine the changes in consumer prices of imported rice and Japanese consumers' welfares. The results revealed that tariffequivalents of the SBS import quota almost doubled the scale of the mark-up, and the intervention by the Ministry of Agriculture of Japan did cause non-tariffbarriers to trade (NTBs). Finally, if the SBS rice quota quantity was fixed at or larger than 180 thousand tons every fiscal year, the consumer prices of imported rice in Japan's market would decrease to be less than the prices of Japan's domestic rice, and therefore the imported rice would have more price advantages in this scenario.
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U2 - 10.3390/su8080817
DO - 10.3390/su8080817
M3 - Article
AN - SCOPUS:84983747557
VL - 8
JO - Sustainability
JF - Sustainability
SN - 2071-1050
IS - 8
M1 - 817
ER -