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Price response of maize acreage in Benin was estimated with a particular emphasis onwhether the prices were producer prices in rural markets or retail prices in urban markets.A second difference between prices was examined through a price adjustment model whichtakes into account the distortions caused by local units on maize price when one isconcerned with the pricing system in the private marketing network relating rural and urbanareas. Urban market price specification appeared to be the most relevant statistically inexplaining acreage decisions in Mono province. Price elasticity of acreage was 0.445 in thisarea while its value, around 0.10, was not significant for Benin as a whole. The use ofadjusted urban prices enabled an increase of 5.6% of the elasticity in Mono province.The urban vs. rural difference was apparent, but the coefficients of the price variablewere not significant in equations with rural prices. The latter were not as reliable as those ofthe urban market of Dantokpa (in Cotonou city) collected by the Institute of Statistics(INSAE) and the GTZ project.

Subject(s): Crop Production/Industries

Demand and Price Analysis

Issue Date: 1993-09

Publication Type: Journal Article

PURL Identifier: http://purl.umn.edu/173205 Published in: Agricultural Economics: The Journal of the International Association of Agricultural Economists, Volume 09, Issue 3 Page range: 215-239

Total Pages: 26

Record appears in: International Association of Agricultural Economists (IAAE) > Agricultural Economics: The Journal of the International Association of Agricultural Economists





Autor: Honfoga, Barthelemy G.

Fuente: http://ageconsearch.umn.edu/record/173205?ln=en







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