Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/183414 
Year of Publication: 
2017
Series/Report no.: 
IFN Working Paper No. 1185
Publisher: 
Research Institute of Industrial Economics (IFN), Stockholm
Abstract: 
For about seventy years, the Canadian Wheat Board (CWB) was one of the world's largest export "single desk" state traders in agriculture, until it was deregulated in 2012 and stripped of its marketing powers. One of the main crops controlled by the CWB was barley. We estimate the impact of the removal of the CWB's single desk on the spatial pattern of malting barley production in Western Canada. We find that deregulation encouraged growers located closer to malt barley plants to increase production relative to growers located further from the plants. Additionally, malting barley production shifted to regions with more of a natural advantage arising from climatic conditions. This change in cropping patterns after deregulation can be explained by efficiency gains, combined with transportation and handling cost savings.
Subjects: 
State trading
Deregulation
Agricultural regulation
Trade costs
Comparative advantage
JEL: 
L43
Q17
Q18
R12
R14
Document Type: 
Working Paper

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