Grain Drain: The Hidden Cost of U.S. Rice Subsidies

Cato Institute Trade Briefing Paper Series No. 25

16 Pages Posted: 2 Apr 2007

See all articles by Daniel T. Griswold

Daniel T. Griswold

Mercatus Center at George Mason University

Date Written: November 2006

Abstract

Rice is the world's most important food commodity and also the most protected and subsidized. The U.S. rice program is no exception. The U.S. government supports domestic rice production through tariffs on imported rice and direct taxpayer subsidies based on production, prices, and historical acreage. These subsidies result in enormous welfare losses for both U.S. consumers and taxpayers. U.S. farm policy should embrace a more market-oriented rice program in the upcoming 2007 farm bill, including repeal of tariffs and a rapid phaseout of subsidies.

Keywords: Cato, Dan Griswold, TBP 25, subsidies, rice subsidies, United States rice program, domestic rice production, tariffs, production, prices, historical acreage, welfare losses, United States farm policy, 2007 farm bill, phasing out farm subsidies

JEL Classification: D11, D12, D24, D30, D43, D49, E31, E61, E62, G18

Suggested Citation

Griswold, Daniel T., Grain Drain: The Hidden Cost of U.S. Rice Subsidies (November 2006). Cato Institute Trade Briefing Paper Series No. 25, Available at SSRN: https://ssrn.com/abstract=975688 or http://dx.doi.org/10.2139/ssrn.975688

Daniel T. Griswold (Contact Author)

Mercatus Center at George Mason University ( email )

3434 Washington Blvd., 4th Floor
Arlington, VA 22201
United States

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
267
Abstract Views
1,533
rank
136,651
PlumX Metrics