Implementation of price policies in developing countries
Abbott, J.C.
Welsh Studies in Agricultural Economics, Department of Agricultural Economics, University College of Wales 4: 48-61
1985
Document Number: 398045
Implementation of food grain policies has led many governments to set up elaborate marketing control systems and stabilization agencies. The costs of these policies to farmers, consumers and the government, and indirect costs to the economy, are considered. Countries lacking financial resources from outside agriculture to subsidize expensive price policies are coming under increasing pressure to consider more economical approaches. There are various alternatives open for consideration depending on the production conditions and external trade situation of the country. They comprise: allowing prices to move seasonally over a wider range; reduction of costs of stabilizing agencies; and liberalization of grain markets.