TRENDS IN THE PRICE OF AGRICULTURAL INPUTS AND PRODUCTS AND THE PHENOMENON OF "PRICE SCISSORS" IN REPUBLIC OF MOLDOVA
2016
Maria COJOCARU
The paper aimed to present a comparative approach of price indices development in agriculture and price variation in ressources and services purchasement by agricultural producers. Based on the analysis of price development report "industry - agriculture," the author gives an appreciation of the phenomenon of "price scissors" for the period 2005-2014. The data sources are the studies from the issue of the National Bureau of Statistics of the Republic of Moldova. The data were processed with the following methods: monograph, analysis, synthesis, trend analysis, graphical method, etc. It was concluded that the state should support a manufacturer's target price. The target price of the manufacturer supported by the state should provide producers a profit above the average in economy. Such an approach to the subsidization of agriculture will provide an increased reproduction without excessive expenses, will reduce the risk of overproduction due to excessive subsidies, and at the same time entities will have an incentive to increase the efficient use of assets.
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