China's PSE: Are Chinese Farmers Subsidised?

The Chinese government introduced some pro-farmed policies in the mid 1990s. This has caused some concerns from other countries on whether and how such policy initiatives would affect China's agricultural trade. This study uses OECD's methodology to calculate producer support estimates (PSEs) and total support estimates (TSEs) for farmers. However, it is also evident that the Chinese farmers are still taxed even under the current agricultural policies. The paper concludes by addressing likely further changes in agricultural policies following China's joining the WTO and discussing the implications of China's agricultural policy changes.