Evaluating EU Agricultural Policy Reform Using the EU WTO Model

This paper provides an overview of the European Union component of the recently developed ERS/Penn State WTO Model. The model is a multi-region, multi-commodity partial equilibrium trade model which allows the user to simulate the effects of reducing or eliminating tariffs and TRQs, export subsidies, and domestic support policies. The paper describes how the model captures the important agricultural policies of the EU, and presents results from model simulations of domestic support liberalization, export subsidy elimination, and tariff removal.