Model of estimating level agricultural support which includes some macroeconomic elements
1997
Andric, Lj. (Poljoprivredni fakultet, Novi Sad (Yugoslavia). Institut za ekonomiku poljoprivrede i sociologiju sela)
Model of estimating level of agricultural support which is presented in this paper could be implemented practically. Namely, some macroeconomic elements are included in a farm of so called total nominal rate of protection so that it can be named as "more developed" rate of support. This model approach includes trade follows of outputs and imputs (on both domestic and external markets). Estimated real exchange rate is also included and it consists of two components: 1. component which includes export output price (plus subsidy) and import output price (plus tariff) and 2. component which includes export and import prices of inputs adopted like in the case of the first component. Some dynamical elements are also included in this model through price indexes.
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