A. Rezaee; A.H. Chizari; N. Nakhaei
Abstract
The goal of this study is to investigate government`s protective policies, comparative advantage of production & export of onion during 2000-2006 in Esfahan province. the PAM method is utilized to investigate government`s protective policies, DRC index is utilized to investigate production comparative ...
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The goal of this study is to investigate government`s protective policies, comparative advantage of production & export of onion during 2000-2006 in Esfahan province. the PAM method is utilized to investigate government`s protective policies, DRC index is utilized to investigate production comparative advantage & RCA & RSCA indexes are utilized to compute export comparative advantage. Results show that during all of the studied years, government supported input and output market but the onion’s product didn´t have production comparative advantage during all these years (except 2004). In 2000, 2001, 2005 and 2006 government supported this crop by allocating indirect subsidy to it, whereas in 2002-4 the policy was to impose taxes on this crop. Moreover tax was charged on tradable inputs in 2000 & 2001 and during 2002-6 subsidies has been set to these inputs. The results of RCA and RSCA indicate that Iran has had comparative advantage in onion`s export in 1999-2006 expect 2005.
