The Food and Agricultural Policy Simulator

This article describes the structure and dynamic properties of the Food and Agricultural Policy Simulator (FAPSIM), an annual econometric model of the US agricultural sector F APSIM estimates a simultaneous price-quantity equilibrium solution for a set of individual commodity models developed for beef, pork, dairy, chickens, eggs, turkeys, corn, oats, barley, gram sorghum, wheat, soybeans, and cotton F APSIM also endogenously determines farm production expenses, cash receipts, net farm Income, Government deficiency and reserve storage payments, consumer price indexes for food products, and farmer participation 10 Government commodity programs The model estimates that each 1OO -million-bushel Increase In corn exports Increases the price of com by $0 15 per bushel