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Trade and the Political Economy of Agricultural Policy: The Case of the United States Peanut Program

Published online by Cambridge University Press:  28 April 2015

Rodolfo M. Nayga Jr.
Affiliation:
Kansas State University, Manhattan, Kansas
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Abstract

NAFTA and GATT will dramatically alter regulations protecting U.S. peanut markets and will allow foreign producers considerable access to domestic market. Traditionally, the political economy surrounding peanut policy has been favorable to domestic producers. Rising peanut butter imports, decreasing domestic demand, and possibly the inadvertent effects of domestic policy, ironically implemented to protect domestic producers, have contributed to significant increases in Treasury costs. These increased Treasury costs have dramatically changed the political climate surrounding the peanut program. In this light, the effects of GATT appear manageable; NAFTA may ultimately require major policy reform. Possible alternatives are presented.

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Articles
Copyright
Copyright © Southern Agricultural Economics Association 1995

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References

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