Would Indian farmers benefit from liberalization of world cotton and sugar markets?
研究通过计量分析发现,印度农村市场价格紧跟世界价格,农民生产灵活,若经合组织国家减少对棉花和糖的保护主义政策,印度农民生产者剩余长期将增加4.2%至22.3%。
Abstract Rich‐country support programs for cotton and sugar producers are frequently claimed to be detrimental for developing‐country farmers. This study investigates whether a reduction in protectionist policies for Organization for Economic Cooperation and Development cotton and sugar producers would have a measurable effect on the welfare of Indian farmers. The fact that these sectors are intensively regulated within India might suggest that any such effect will be small. However, this study shows econometrically that prices in Indian rural markets closely follow world prices, and that Indian farmers are flexible in the medium to long run in changing production according to price signals from these markets. Depending on the crop and the nature of liberalization, producer surplus increases from 4.2% to 22.3% in the long run.