Rent seeking: The potash dispute between canada and the united states

Valerie J. Picketts, Andrew Schmitz, Troy Schmitz

Research output: Contribution to journalArticle

7 Scopus citations

Abstract

Despite the Canada-United States Free Trade Agreement, border disputes involving agricultural trade are common. A theoretical basis for the 1987 U.S. countervailing duty case against Canadian exports of potash is developed using excess capacity arguments. Empirically, within a rent-seeking context, the U.S. potash producers gained far less from their legal action against Canada than did U.S. farmers who are significant users of Canadian potash.

Original languageEnglish (US)
Pages (from-to)255-265
Number of pages11
JournalAmerican Journal of Agricultural Economics
Volume73
Issue number2
DOIs
StatePublished - 1991
Externally publishedYes

Keywords

  • Agricultural trade
  • Countervailing duties
  • Potash
  • Producer rents
  • Rent seeking
  • User rents

ASJC Scopus subject areas

  • Agricultural and Biological Sciences (miscellaneous)
  • Economics and Econometrics

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