Relative rate of assistance to agriculture, excluding decoupled payments, 1956 to 2004 (percent)
“The Relative Rate of Assistance is calculated as RRA = 100[(100+NRAag)/(100+NRAnonag) – 1], where NRAagt and NRAnonagt are the average percentage Nominal Rates of Assistance for the tradable parts of the agricultural and non-agricultural sectors, respectively.”
From: Kym Anderson and Tim Josling.
Australia and New Zealand have low relative rates of agricultural to non-agricultural protection because both had protection in manufacturing exceeding that in agriculture before they “unilaterally moved to virtually free markets in farm and non-farm goods.” European, Japanese and Korean protection is heavily concentrated in the agricultural sector. And America? It appears to protect its agricultural and non-agricultural sectors evenhandedly.
The shortcoming of the graph is that it depicts only relative protection. Visualizing both absolute and relative protection in the same figure would be very informative, though a bit difficult to construct.