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Output and Input Subsidy Policy Options in Bangladesh

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  • Nehring, Richard F.
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    Abstract

    Recent changes in pricing policies emphasizing price supports and phasing out fertilizer subsidies are a step in the right direction, particularly if minimizing the combined foreign exchange and budgetary expenditures of Bangladesh and donor nations is the key objective. A normalized restricted profit function is used to estimate profit and factor demand functions from farm-level, cross-sectional data for the food grain and jute crops in Bangladesh. The estimated elasticities are used to evealuate price support and fertilizer subsidy programs in terms of then costs to the government, foreign exchange effects and producer surplus for the food grain and jute sectors.

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    File URL: http://purl.umn.edu/138269
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    Bibliographic Info

    Article provided by United States Department of Agriculture, Economic Research Service in its journal Journal of Agricultural Economics Research.

    Volume (Year): (1991)
    Issue (Month): 2 ()
    Pages:

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    Handle: RePEc:ags:uersja:138269

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    Related research

    Keywords: Food grains; jute; profit function; output price supports; fertilizer subsidies elasticities; producer surplus; Bangladesh; Crop Production/Industries; International Relations/Trade;

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    1. Rao, J. Mohan, 1989. "Agricultural supply response: A survey," Agricultural Economics, Blackwell, vol. 3(1), pages 1-22, March.
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