IDEAS home Printed from https://ideas.repec.org/a/eee/deveco/v17y1985i1-2p117-129.html
   My bibliography  Save this article

Agricultural terms of trade and distributional perversities in a neo-Ricardian model

Author

Listed:
  • Andrews, Margaret S.

Abstract

The comparative-static effects of a change in terms of trade for the agricultural sector are examined in a two-sector, neo-Ricardian model. When wages are held constant and intensive rents are earned by owners of the non-produced land resource, it is possible for a favorable shift in agriculture's terms of trade to lead to a fall in the rate of profit on circulating capital or a decline in the rental rate on land. The conditions causing these perverse profit and rental rate responses are shown to depend on the type of high-yielding technology available. The relevance of the analysis to policy making and investment in the agriculture sector is discussed.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Andrews, Margaret S., 1985. "Agricultural terms of trade and distributional perversities in a neo-Ricardian model," Journal of Development Economics, Elsevier, vol. 17(1-2), pages 117-129.
    • Handle: RePEc:eee:deveco:v:17:y:1985:i:1-2:p:117-129
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/0304-3878(85)90025-2
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. Mellor, John W, 1973. "Accelerated Growth in Agricultural Production and the Intersectoral Transfer of Resources," Economic Development and Cultural Change, University of Chicago Press, vol. 22(1), pages 1-16, October.
    2. Yair Mundlak, 1969. "The Terms of Trade of Agriculture in Context of Economic Growth," International Economic Association Series, in: Ugo Papi & Charles Nunn (ed.), Economic Problems of Agriculture in Industrial Societies, chapter 0, pages 634-663, Palgrave Macmillan.
    3. John E. Floyd, 1965. "The Effects of Farm Price Supports on the Returns to Land and Labor in Agriculture," Journal of Political Economy, University of Chicago Press, vol. 73(2), pages 148-148.
    4. Gibson, Bill & McLeod, Darryl, 1982. "Terms-of-trade policy in a model with non-produced means of production," Journal of Development Economics, Elsevier, vol. 10(1), pages 31-45, February.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Gibson, Bill & McLeod, Darryl, 1985. "Profit, rent and the terms of trade," Journal of Development Economics, Elsevier, vol. 17(1), pages 131-139.
    2. Amitava Krishna Dutt, 1989. "Sectoral Balance: A Survey," WIDER Working Paper Series wp-1989-056, World Institute for Development Economic Research (UNU-WIDER).
    3. Andrews, Margaret S., 1985. "Profit, rent and the terms of trade," Journal of Development Economics, Elsevier, vol. 17(1), pages 141-149.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gardner, Bruce L., 2002. "U.S. Commodity Policies And Land Prices," Working Papers 28560, University of Maryland, Department of Agricultural and Resource Economics.
    2. Bullock, D. S. & Salhofer, K., 1998. "Measuring the social costs of suboptimal combinations of policy instruments: A general framework and an example," Agricultural Economics, Blackwell, vol. 18(3), pages 249-259, May.
    3. Livia Marchetti & Valentina Cattivelli & Claudia Cocozza & Fabio Salbitano & Marco Marchetti, 2020. "Beyond Sustainability in Food Systems: Perspectives from Agroecology and Social Innovation," Sustainability, MDPI, vol. 12(18), pages 1-24, September.
    4. Amitava Krishna Dutt, 1989. "Sectoral Balance: A Survey," WIDER Working Paper Series wp-1989-056, World Institute for Development Economic Research (UNU-WIDER).
    5. Callahan, Scott & Ifft, Jennifer & Michaud, Clayton P., 2022. "The impact of countercyclical farm programs on agricultural land values," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322579, Agricultural and Applied Economics Association.
    6. David Colman, 2004. "Compte rendu d'ouvrage - Exploring the frontiers of agricultural economics : a review of volumes 2A and 2B of the Handbook of Agricultural Economics," Cahiers d'Economie et Sociologie Rurales, INRA Department of Economics, vol. 73, pages 126-141.
    7. Puddu,Marco & Bartolini, Fabio & Viaggi,Davide, 2012. "Simulation of Land Use and Investment Behaviour under Different Policy Scenarios: Results of the extended farm/household model," Factor Markets Working Papers 132, Centre for European Policy Studies.
    8. repec:zbw:inwedp:582015 is not listed on IDEAS
    9. Betina Dimaranan & Thomas W. Hertel & Roman Keeney, 2003. "OECD Domestic Support and Developing Countries," WIDER Working Paper Series DP2003-32, World Institute for Development Economic Research (UNU-WIDER).
    10. Jeremy G. Weber & Conor Wall & Jason Brown & Tom Hertz, 2015. "Crop Prices, Agricultural Revenues, and the Rural Economy," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 37(3), pages 459-476.
    11. Lele, Uma, 1976. "Considerations Related to Optimum Pricing and Marketing Strategies in Rural Development," 1976 Conference, July 26-August 4, 1976, Nairobi, Kenya 182362, International Association of Agricultural Economists.
    12. Kilian, Stefan & Salhofer, Klaus, 2009. "Entkoppelte Prämien, Bodenpreise und Wettbewerbsfähigkeit," German Journal of Agricultural Economics, Humboldt-Universitaet zu Berlin, Department for Agricultural Economics, vol. 58(03), pages 1-3, April.
    13. Young, C. Edwin & Osborn, C. Tim, 1990. "The Conservation Reserve Program: An Economic Assessment," Agricultural Economic Reports 308084, United States Department of Agriculture, Economic Research Service.
    14. Pavel Ciaian & d’Artis Kancs & Johan Swinnen, 2010. "EU Land Markets and the Common Agricultural Policy," Journal of Economics and Econometrics, Economics and Econometrics Society, vol. 53(3), pages 1-31.
    15. Ciaian, Pavel & Pokrivcak, Jan & Kancs, d'Artis, 2013. "Empirical Evidence of the Distributional Effects of the CAP in New EU Member States," Working papers 157117, Factor Markets, Centre for European Policy Studies.
    16. Chen, Pei-Chi Peggy & McIntosh, Christopher, 1991. "The Impact of Chemical Restrictions on Agriculutral Output and Input Markets," WAEA/ WFEA Conference Archive (1929-1995) 321432, Western Agricultural Economics Association.
    17. Calzadilla, Alvaro & Zhu, Tingju & Rehdanz, Katrin & Tol, Richard S.J. & Ringler, Claudia, 2013. "Economywide impacts of climate change on agriculture in Sub-Saharan Africa," Ecological Economics, Elsevier, vol. 93(C), pages 150-165.
    18. Jonasson, Erik & Filipski, Mateusz & Brooks, Jonathan & Taylor, J. Edward, 2014. "Modeling the welfare impacts of agricultural policies in developing countries," Journal of Policy Modeling, Elsevier, vol. 36(1), pages 63-82.
    19. Martin, Frederic & Lariviere, Sylvain & Staatz, John M., 1995. "Success Stories of Adjustment: Results and Lessons from Africa and Latin America," 1994 Conference, August 22-29, 1994, Harare, Zimbabwe 183385, International Association of Agricultural Economists.
    20. Qiu, Feng & Goodwin, Barry K. & Gervais, Jean-Philippe, 2011. "An Empirical Investigation of the Linkages between Government Payments and Farmland Leasing Arrangements," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(3), pages 1-16.
    21. Ciaian, Pavel, & Kancs, d’Artis & Swinnen, Jo & Van Herck, Kristine & Vranken, Liesbet, 2012. "Rental Market Regulations for Agricultural Land in EU Member States and Candidate Countries," Factor Markets Working Papers 117, Centre for European Policy Studies.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:deveco:v:17:y:1985:i:1-2:p:117-129. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/devec .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.