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Abstract

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.

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