THE UNITED-STATES EXPORT-ENHANCEMENT-PROGRAM - PROSPECTS UNDER THE FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT OF 1990

According to provisions of the 1990 US farm bill, the Export Enhancement Program (EEP) will continue to be an important instrument in promoting US agricultural exports and in challenging subsidizing competitors, like the European Community (EC), with funding levels set at a minimum of $500 million annually through 1995. This research, whose purpose is to evaluate the likely effectiveness of the wheat EEP through 1995, concludes that the EEP will have a significant effect on US wheat exports, but will be subject to diminishing returns at levels higher than the annual minima, and the EC will be only marginally affected by the EEP as it can effectively counter the provisions of the EEP at low cost.