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Linkage between production and consumption of an agricultural household

Author

Listed:
  • Shakil Quayes
  • Salim Rashid

    (Arizona State University, USA
    University of Illinois at Urbana-Champaign, USA)

Abstract

The importance of modeling farm households in LDC's as being both producers and consumers of the same good has been recognized for some time. Using a Cobb-Douglas specification for the production function and a linear expenditure system, the paper presents empirical evidence of the linkage between the consumption and production decisions of the agricultural household in Bangladesh. In addition, the study finds that the government price support policy for rice results in higher real wages and hence benefits the landless labor.

Suggested Citation

  • Shakil Quayes & Salim Rashid, 2008. "Linkage between production and consumption of an agricultural household," Journal of Developing Areas, Tennessee State University, College of Business, vol. 42(1), pages 117-134, September.
    • Handle: RePEc:jda:journl:vol.42:year:2008:issue1:pp:117-134
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    More about this item

    Keywords

    Agricultural Household; Farm Goods; Bangladesh;
    All these keywords.

    JEL classification:

    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • R20 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - General

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