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To mitigate the farmer poverty and income inequality, many developing countries have introduced subsidy schemes to improve the incomes of farmers. Two commonly observed schemes are the input-based subsidies, which aim to reduce the input purchasing costs of farmers, and the output-based...
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Problem definition: In supply chains for subsidised products sold to low income families, there is a question about who should be subsidised in the supply chain and to what extent, and whether retail competition or having substitutable products matters.Academic/practical relevance: By...
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Most consumers in rural areas of many developing countries cannot afford to purchase certain livelihood improvement products such as home appliances. To improve consumer welfare and manufacturer profit, many governments launch different types of subsidy programs that offer subsidies to...
Persistent link: https://www.econbiz.de/10012967830
should the prevailing market price be below the pre-specified MSP. In this paper, we consider a market consisting of infinitesimally small, rational, and strategic farmers(with heterogeneous production costs) who face market and yield uncertainties. Our equilibrium analysis reveals that (i)...
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