The Effect Of Government Protection Policies In The Agricultural Sector.(Case Study: Animal Husbandry And Poultry Sub – Sector)
2007
Bostaki, M., Member of Scientific Board of Agricultural Research and Education Organization . Tehran , Iran.
In the recent decades, agricultural sector in most developing countries has been influenced by various types of government intervention policies with the purpose of protection of agricultural sector besides the other sectors .These policies include vast varieties of intervention which influence the price and market of these products directly and/or indirectly. In the recent decades; agricultural sector has been affected by these policies in Iran. Such interventions mainly take place due to price control of these goods and/or paying subsidy on inputs, especially via allocation of undervalued exchange rate. The purpose of this paper is measuring the effect of government direct price intervention on poultry and animal husbandry sub- sectors during 1982- 2000.This period includes both years of war-period of price stabilization also, period of price liberalization policies about these goods. The selected commodities are egg, chicken and beef. Instruments of nominal and effective rates of protection were used to measure these effects. These rates were calculated using data which were drown from ministry of Jihad-e Agriculture and other organization concerned with subject.The results show that: First; rates of protection fluctuate during the time .Therefore it is better to look at the trend of these rates over a number of years rather than the absolute of them for a particular year. Second; the amount of nominal rates of protection depends on whether nominal or real exchange rate are calculated and these rates in real exchange rate scenario are more than the same in nominal exchange rate scenario. Third; averages of effective rates of protection about all of goods are positive .In addition, most and least amount of averages of nominal and effective rates of protection are related to beef and egg, respectively.
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