Trade changes impact on soybean demand elasticity, shaping market policies.
The article explores how changes in market conditions and trade policies affect the demand for joint products like soybeans. By considering both domestic and international trade, the researchers found that the elasticity of total demand for soybeans is crucial for understanding the impact of these changes. The study uses the USA soybean industry as an example to demonstrate how this new formula can help policymakers predict the effects of different scenarios on the demand for raw products.