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Quarantine policy reviews are becoming more sophisticated yet they still focus primarily on the effects of restrictions solely on import‐competing producers. A fuller analysis that includes the consumers demonstrates that even if imported diseases were to wipe out a local industry, the gains to consumers might outweigh the losses to import‐competing producers from removing a ban on imports. This article provides the simplest partial equilibrium framework for thinking more about the economics of quarantine policy measures using an empirical analysis of Australia’s ban on imports of bananas.
The Australian Journal of Agricultural Resource Economics – Wiley
Published: Dec 1, 1998
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