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<br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br />I <br /> <br />~ ~. 4; >~ ., ~ ' <br />t,;',j_ ,.,j:,) J <br /> <br />The other two el astic ity tabl es have rel ati vel y few coeffic ients that <br />have been estimated. Since the feed grains are combined into a single com- <br />modity, the feed demand table is only concerned with the demand for feed <br />grains, wheat, and soybeans. Because there is not a significant amount of <br />cross-price relationships in export demand, the diagonal contains the only <br />non-zero el ements and these are only for the five dominant export catego- <br />ries. <br /> <br />Since this component uses base year prices and the Constant Price com- <br />ponents only provide those influences which shift the quantities supplied <br />or demanded at base year real prices, the initial equilibrium solution is <br />only for the relative prices between the commodities. The general price <br />1 evel experienced by the agricultural sector is provided by the Aggregate <br />Farm Output component. This provides the basis from which a multiplier is <br />calcul ated to adjust the initial equil ibrium prices from the Commodity Pro- <br />duction and Util ization component to nominal prices. These nominal prices <br />can then be defl ated to the desired real prices, in thi s case 1977 real <br />dollars. <br /> <br />II -47 <br />