This report documents the updated version of the Partial Equilibrium Agricultural Trade Simulation (PEATSim) model developed by USDA’s Economic Research Service. PEATSim is a global model, covering 31 commodities and 27 countries/regions. The model, consistent with economic theory, provides a...

Intervention by governments in their foreign trade sectors fundamentally alters the character and composition of agricultural trade by making imports less responsive to international price changes than they otherwise would be. Intervention can also make world market prices change more frequently...

The study analyzes the reasons for defining bona fide hedging for regulatory purposes, deficiencies of the current legal definitions, means for sidestepping the need to define hedging, how these means might work in practice, some problems posed thereby, and possible theoretical and practical...