Assessing the Impacts of Wool Promotion An Equilibrium Displacement Modelling Approach
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The main goal of the International Wool Secretariat (IWS) is to increase the world demand
for wool through promotion activities. Australia is a leading wool producer and the world's
largest apparel wool exporter. Each year Australian wool producers contribute millions of
dollars to the IWS for wool promotion. The principal aims of this paper are to demonstrate
the potential for equilibrium displacement modelling to assess the impact of incremental
wool promotion on wool producer incomes and profits, and, using 'best~bet' estimates of
the key parameters, to indicate cross-commodity impacts of promotion of various fibres on
wool producer profits.