Analyzing the effects of U.S. macroeconomic policy on U.S. agriculture using the USAGMKTS model

Abstract

This report describes the results of simulating effects of U.S. macroeconomic policy on U.S. agriculture using the USAGMKTS model. The primary purpose for which the USAGMKTS model was developed is to determine the effects of potential changes in U.S. policy on the border prices of corn, sorghum, and soybeans. The USAGMKTS model is a member of a set of interlinked models at macroeconomic and sectoral levels of Mexico and the U.S. (with enough specification of the rest of the world to close the system). The effects of macroeconomic policy variables on macroeconomic variables affecting the agricultural sector are derived from the FAIRMODEL of the U.S. macroeconomy. These results will be used later to determine the effects of U.S. agricultural and macroeconomic policies on Mexican agriculture using the MEXAGMKTS model.Economic Theory&Research,Environmental Economics&Policies,Livestock&Animal Husbandry,Access to Markets,Markets and Market Access