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TARIFF COMPENSATION: SUFFICIENT JUSTIFICATION FOR ASSISTANCE TO AUSTRALIAN AGRICULTURE? *
Author(s) -
Harris Stuart
Publication year - 1975
Publication title -
australian journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.683
H-Index - 49
eISSN - 1467-8489
pISSN - 0004-9395
DOI - 10.1111/j.1467-8489.1975.tb00154.x
Subject(s) - tariff , compensation (psychology) , complementarity (molecular biology) , argument (complex analysis) , commission , economics , agriculture , set (abstract data type) , public economics , substitution (logic) , law and economics , microeconomics , international trade , computer science , finance , geography , archaeology , biology , psychoanalysis , genetics , programming language , psychology , biochemistry , chemistry
This paper discusses in greater detail the case for tariff compensation set out in the Green Paper on Rural Policy. It considers a number of theoretical and practical arguments levelled against the principle, including those put forward in the Annual Report for 1973‐74 of the Industries Assistance Commission. It concludes that despite the various counter arguments, the second best argument for tariff compensation applicable to low cost manufacturing as well as rural industries, remains valid in principle; in practice the extent to which any such partial compensation would be warranted needs to be assessed in the light of the appropriate substitution and complementarity relationships.