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Can Risk Averse Competitive Input Providers Serve Farmers Efficiently?
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Veröffentlicht/Copyright:
8. Mai 2009
Under price ceilings and quality floors for agricultural inputs in cash crop sectors in developing countries where credit markets are weak, imperfect information on the ability of farmers to pay for their inputs at the end of the cropping season may lead the decentralized production of those inputs by risk averse private input providers to be inefficient. A coordinating agency and/or subsidies for new farmers could help to produce and distribute more agricultural inputs, thereby increasing the profits for input providers while also enabling more farmers to produce the crops that are key to their livelihood.
Published Online: 2009-5-8
©2011 Walter de Gruyter GmbH & Co. KG, Berlin/Boston
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Schlagwörter für diesen Artikel
farm inputs;
risk aversion;
price control;
public good
Artikel in diesem Heft
- Article
- Generic Advertising in Markets with Informative Brand Advertising
- Product Proliferation in India's Cotton Seed Market: Are There Too Many Varieties?
- Complementarity among Alternative Procurement Arrangements in the Pork Packing Industry
- Can Risk Averse Competitive Input Providers Serve Farmers Efficiently?
- Buyer Power in U.K. Food Retailing: A 'First-Pass' Test
- Asymmetric Price Transmission, Market Power, and Supply and Demand Curvature
- Wine Brokers as Independent Experts
- Vertical Economies of Scope in Dairy Farming
- Why Did Contracts Supplant the Cash Market in the Broiler Industry? An Economic Analysis Featuring Technological Innovation and Institutional Response