By N.S.S. Narayana, Kirit S. Parikh and T.N. Srinivasan (Eds.)

ISBN-10: 0444886672

ISBN-13: 9780444886675

This e-book provides an empirically expected utilized basic equilibrium version for India and the research of a variety of coverage matters performed utilizing the version. a few of the chapters within the publication care for public distribution guidelines, international exchange and reduction regulations, rural works programmes, phrases of alternate rules, fertilizer subsidy regulations and irrigation improvement guidelines. those regulations are analysed by way of their speedy and medium time period results on creation, intake and costs of alternative commodities, at the progress of the financial system in addition to at the distribution of source of revenue between diversified teams in rural and concrete components and the prevalence of poverty within the economic climate. every one bankruptcy facing coverage research describes the analytical matters concerned, the old context and event of the coverage involved, result of the version situations and the coverage insights that emerge

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**Extra resources for Agriculture, Growth and Redistribution of Income: Policy Analysis with a General Equilibrium Model of India**

**Sample text**

All diese factors influence the process by which the farmers estimate expected revenues in die future. ^ We postulate die process of the formation of revenue expectation for each crop to be an Auto-Regressive Integrated Moving Average (ARIMA) process. Such a model implies diat farmers, in expecting dieir revenue, take into account not only die past realized revenues, but also the extent by which their expectations differed from the actual realiza tions in the past. These crop revenue expectation equations are as follows: ^ e,w^, + ^ Ö3,w^-3 + .

54) AGRI 45 Model given the estimates of YBAR for that period from supply modules, σ^,* and The assumption that the distribution of (C,Y) is bivariate log-normal can be used to derive the proportion of total population, consumption expenditure and income accounted for by households within any specified expenditure class. Thus PP. = proportion of population in j * expenditure class log(XP^,l)-μ, log(XPLP-H, -Φ = Φ (55) PCJ = proportion of aggregate consumption expenditure accounted for by the j * expenditure class log(XPLP-μ, 10g(XPLj,l)-μ, -Φ =Φ (56) σο AID PY.

Thus die total cost, C, was specified as: C ( Q . Q C J = Q J a . s. is the cost per unit. Minimization of the expected costs (ie-. by writing equation (33) in terms of expected values and minimizing) over QC^ gives us the cost minimizing desired capacity, QC^^ as follows: QC^ = V(Q,)/E(Q^) -K E(Q^) - α,/2α, (34) where V(Q^) is die variance of and E(Q^) is die expected output level. Now, a j was assumed to be zero, so diat QC^ = E(Q,) + V(Q,)/E(Q,) (35) Wc could assume: (0 (ii) V(Qj) is constant over time, and expected actual output generally equals expected demand for die good, so diat E(Q^) = E(YIODD^) (36) where YIODD is the demand for non-agriculture in die country as a whole.

### Agriculture, Growth and Redistribution of Income: Policy Analysis with a General Equilibrium Model of India by N.S.S. Narayana, Kirit S. Parikh and T.N. Srinivasan (Eds.)

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