Abstract
An applied welfare economics approach was utilised to analyse the impact of public policy on the rice industry arising from the adoption of a price control programme. Taking market clearing equilibrium price under the assumption of a closed economy, the imposition of price control was found to favour consumers at the expense of producers. Based on the 1992 equilibrium price level, welfare gain accrued to the consumers as represented by the consumeris surplus, was estimated at consumers as represented by the consumeris surplus, was estimated at  RM205 thousand per year, while a reduction in the producer's surplus, constituting a welfare loss, was estimated at RM188 thousand. Excess demand resulting from the existing pricing policy was supplemented by rice imports, amounting to 2,535 metric tons during the year. The amount of government spending on rice import was RM248 thousand  for the year. In total, there was a negative net welfare effect of RM232 thousand for the year analysed. The paper also discussed the interrelationship between pricing policy and the level of self-sufficiency, since for every level of controlled prices, corresponding quantities of rice supplied and demanded can be obtained. Hence, an appropriate pricing policy may be chosen to acquired level of rice self-sufficiency in the industry.

Abstrak
Ekonomi kebajikan gunaan dipakai untuk menganalisis impak dasar awam terhadap program kawalan harga dalam industri beras. Berasaskan harga keseimbangan dalam pasaran tertutup, dasar harga kawalan menguntungkan pengguna dan merugikan pengeluar. Berdasarkan harga keseimbangan 1992, keuntungan kebajikan pengguna bernilai RM205 ribu setahun, manakala kerugian kebajikan pengeluar bernilai RM188 ribu setahun. Lebihan permintaan hasil daripada dasar harga kawalan ditampung dengan import berjumlah 2,535 tan metrik pada tahun berkenaan. Jumlah import yang diwakili oleh pembayaran kerajaan pada tahun tersebut bernilai RM248 ribu. Dasar harga kawalan mendatangkan kerugian kepada negara sebagaimana digambarkan oleh kesan bersih kebajikan yang bernilai RM232 ribu setahun. Kertas ini juga memberi fokus terhadap hubungkait antara harga kawalan dengan tingkat mampu diri dalam penggunaan beras, sebab bagi setiap harga kawalan, wujud anggaran kuantiti permintaan dan penawaran beras. Ekoran itu, dasar harga yang sesuai dapat dipilih bagi menghasilkan tingkat mampu diri yang dihajati dalam industri beras.