Non-tariff barriers and technology Trade and welfare implications

This dissertation examines trade and welfare issues for non-tariff barriers and technology. We examine trade and welfare effects of: Sanitary and Phytosanitary (SPS) barriers to trade for Washington apples; Washington State University (WSU) wheat breeding programs and technology; and Foot-and-Mouth disease (FMD) outbreak for the Mexican cattle industry. In the first article we characterize a full export model to estimate the effects of changing SPS barriers to trade on Washington State apples in China, India, Mexico and Taiwan. We use the SPS cost elasticities obtained from the export supply equations in revenue and surplus simulations. Our results provide promising information to Washington State apple producers. Exports to Mexico and Taiwan may increase significantly if SPS barriers decrease. We confirm China as an attractive market, regardless of SPS barriers to trade. Although exports to India may decrease if SPS barriers are enforced, the loss may not be large. In the second article we calculate the welfare effects of the WSU wheat breeding programs and technology for producers and consumers in Washington State, Oregon, Idaho, the United States and the rest of the world. We draw insights about the effects of cutting edge processes such as DNA fingerprinting in wheat breeding research. We develop a partial equilibrium multi-region trade model for wheat that provides consumer, producer and total surplus for each wheat class and region. Our results provide evidence suggesting that WSU wheat breeding programs have increased welfare in Washington State, in the United States and the rest of the world. The objective of the third article is to analyze the effects on trade of a hypothetical FMD outbreak in the Mexican cattle industry. We simulate the consequences of an FMD outbreak under different mitigation scenarios. This study analyzes a relevant policy issue for the Mexican cattle industry. It is important for policy makers to understand the potential impacts of an FMD outbreak and the consequences of the different mitigation policies. Our results provide evidence suggesting the potential gains due to increased traceability and depopulation of latent infectious herds. However, it is important to consider the cost of implementing the necessary measures