The Distributional Implications of Agricultural Policies in Developing Countries - Findings from the Development Policy Evaluation Model (DEVPEM)
Author
Editor
- Jonathan Brooks
Summary, in English
This chapter presents the Development Policy Evaluation Model (DEVPEM), a new simulation model which captures four critical aspects of rural economies in developing countries: 1) the role of the household as both a producer and a consumer of food crops; 2) high transaction costs of participating in markets; 3) market linkages among heterogeneous rural producers and consumers; 4) the imperfect convertibility of land from one use to another. The results of simulations for six country models show that no untargeted agricultural policy intervention is pro-poor within the rural economy. While agricultural policy instruments are less efficient at raising rural incomes than direct payments, the degree of inefficiency of some market interventions, notably input subsidies, is not inevitably as high as observed in developed OECD countries.
Department/s
Publishing year
2012
Language
English
Pages
89-108
Publication/Series
Agricultural Policies for Poverty Reduction
Document type
Book chapter
Publisher
OECD Publishing
Topic
- Economics
Keywords
- Agricultural policy
- rural development
- developing countries
- policy simulation
Status
Published
ISBN/ISSN/Other
- ISBN: 9789264168633