© 1987 Oxford University Press and the Foundation for the European Review of Agricultural Economics
research-article |
Effects of income distribution in non-agriculture on agricultural prices and income: The Turkish case
Industrial Engineering Department, Middle East Technical University Ankara, Turkey
Received July 1, 1987;
Summary
Price endogenous sector models have long been used for agricultural policy analysis. Some earlier works have shown that the performance of agriculture is strongly influenced by the overall national income level. This article demonstrates that the distribution of income is as important as the level of income in this regard. A small-scale mathematical programming model is applied to Turkish agriculture for quantifying the effects of current urban wage policies upon farm prices and incomes. The model uses the surplus maximisation approach.