Aggregate Impacts of the Boll Weevil Eradication Program on Production, Price and Government Program Costs

Stephen G. Brown, Patricia A. Duffy, and C. Robert Taylor


 
ABSTRACT

The effects of boll weevil eradication in the Southeastern and Southwestern United States were investigated using stochastic simulation techniques. Specific points examined were the effects of eradication on cotton supply, cotton price, and government costs of support programs for cotton. Supply and Demand equations describing the cotton economy were estimated using time series data. A baseline no-eradication scenario was simulated and results of this simulation were compared to simulations in which the effects of the eradication program were incorporated. Results indicate that the price effect of the eradication effort in the two regions of the United States will probably be small. Effects on outlays for deficiency payments, however, may be considerable.



Reprinted from 1990 Proceedings: Beltwide Cotton Production Research Conferences pp. 402 - 405
©National Cotton Council, Memphis TN

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Document last modified Sunday, Dec 6 1998