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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Welfare Effects of Groundnut Pricing in the Gambia
Author:McNamara, Paul
Year:1992
Periodical:Food Policy
Volume:17
Issue:4
Period:August
Pages:287-295
Language:English
Geographic term:Gambia
Subjects:prices
groundnut oil
wealth
Agriculture, Natural Resources and the Environment
Economics and Trade
History and Exploration
Politics and Government
External link:https://doi.org/10.1016/0306-9192(92)90088-F
Abstract:This article reviews the welfare effects of two extremes of groundnut pricing policy in the Gambia during the 1980s (1983/84 and 1986/87) and argues that not only were the taxes and the subsidies large relative to rural incomes, but the efficiency losses were also significant, particularly in the case of the 1983/84 tax. After a description of the groundnut sector, the impacts of taxes and subsidies on the welfare of producers are presented in a partial equilibrium framework and an analysis is made of the effects on the national economy. Significant efficiency losses due to distortions in the groundnut price are found. The article concludes with observations on groundnut pricing policy in the Gambia and its implications for policymakers. Notes, ref.
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