Supply response of tobacco farmers in Trinidad and Tobago
1987
Sankoh, S.S.
The response of farmers to changes in relative price of tobacco was investigated in order to determine the factors responsible for the decline in production from 1973 to 1984. A Nerlovian adjustment (distributed lag) model was used with hectarage planted as the dependent variable and lagged price, yield, prices of competing crops, wage rates, rainfall and hectarage as independent variables. The farmers were positively price responsive, but with a slow rate of adjustment therefore price was the major cause of the production decline in Trinidad and Tobago
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