Agricultural Price and Inequality: Analysis on Southeast Asia
(2012) EKHR92 20121Department of Economic History
- Abstract
- How does agricultural price fluctuations affect the welfare of commodity producing countries? This paper discusses the impact of the movements in commodity prices, focusing only on agricultural goods, to analyse its impact to income inequality. It is well known in the literature that mineral wealth especially oil has an impact on income distribution through the redistribution of wealth, but the channel of impact from agricultural price fluctuations remains largely unexplored. On this paper, we construct a theoretical model linking the relationship between agricultural prices to inequality through its impact on wages of commodity producers relative to other sectors in the economy. To prove our hypothesis, we run an empirical study using... (More)
- How does agricultural price fluctuations affect the welfare of commodity producing countries? This paper discusses the impact of the movements in commodity prices, focusing only on agricultural goods, to analyse its impact to income inequality. It is well known in the literature that mineral wealth especially oil has an impact on income distribution through the redistribution of wealth, but the channel of impact from agricultural price fluctuations remains largely unexplored. On this paper, we construct a theoretical model linking the relationship between agricultural prices to inequality through its impact on wages of commodity producers relative to other sectors in the economy. To prove our hypothesis, we run an empirical study using annual data on income inequality against an index of commodity prices. Using the resource-abundant countries of Southeast Asia as our case study, we found that there is a negative relationship between commodity price fluctuations and the distribution of wealth among the population. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/2798290
- author
- Idrus, Ahmad Nazmi LU
- supervisor
- organization
- course
- EKHR92 20121
- year
- 2012
- type
- H2 - Master's Degree (Two Years)
- subject
- keywords
- Inequality, commodity price, resources, agriculture, Southeast Asia
- language
- English
- id
- 2798290
- date added to LUP
- 2012-09-27 08:49:00
- date last changed
- 2012-09-27 08:49:00
@misc{2798290, abstract = {{How does agricultural price fluctuations affect the welfare of commodity producing countries? This paper discusses the impact of the movements in commodity prices, focusing only on agricultural goods, to analyse its impact to income inequality. It is well known in the literature that mineral wealth especially oil has an impact on income distribution through the redistribution of wealth, but the channel of impact from agricultural price fluctuations remains largely unexplored. On this paper, we construct a theoretical model linking the relationship between agricultural prices to inequality through its impact on wages of commodity producers relative to other sectors in the economy. To prove our hypothesis, we run an empirical study using annual data on income inequality against an index of commodity prices. Using the resource-abundant countries of Southeast Asia as our case study, we found that there is a negative relationship between commodity price fluctuations and the distribution of wealth among the population.}}, author = {{Idrus, Ahmad Nazmi}}, language = {{eng}}, note = {{Student Paper}}, title = {{Agricultural Price and Inequality: Analysis on Southeast Asia}}, year = {{2012}}, }