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Modelling the Distributional Implications of Agricultural Policies in Developing Countries: The Development Policy Evaluation Model (DEVPEM)

Brooks, Jonathan; Filipski, Mateusz; Jonasson, Erik LU and Taylor, Edward (2011) In OECD Food, Agriculture and Fisheries Working Papers
Abstract
This paper presents the Development Policy Evaluation Model (DEVPEM), a new simulation model which captures four critical aspects of rural economies in developing countries: (1) the role of the household as both a producer and a consumer of food crops; (2) high transaction costs of participating in markets; (3) market linkages among heterogeneous rural producers and consumers; (4) the imperfect convertibility of land from one use to another. The results of simulations for six country models show that no untargeted agricultural policy intervention is pro-poor within the rural economy. While agricultural policy instruments are less efficient at raising rural incomes than direct payments, the degree of inefficiency of some market... (More)
This paper presents the Development Policy Evaluation Model (DEVPEM), a new simulation model which captures four critical aspects of rural economies in developing countries: (1) the role of the household as both a producer and a consumer of food crops; (2) high transaction costs of participating in markets; (3) market linkages among heterogeneous rural producers and consumers; (4) the imperfect convertibility of land from one use to another. The results of simulations for six country models show that no untargeted agricultural policy intervention is pro-poor within the rural economy. While agricultural policy instruments are less efficient at raising rural incomes than direct payments, the degree of inefficiency of some market interventions, notably input subsidies, is not inevitably as high as observed in developed OECD countries. (Less)
Please use this url to cite or link to this publication:
author
organization
publishing date
type
Working Paper
publication status
unpublished
subject
keywords
Agricultural policy, household analysis, welfare, general equilibrium
in
OECD Food, Agriculture and Fisheries Working Papers
issue
50
pages
55 pages
publisher
OECD Publishing
ISSN
1815-6797
DOI
10.1787/5kg26l5kjp22-en
language
English
LU publication?
yes
id
2d6eb5f9-449e-4fc8-b981-1dc1402f42f5 (old id 2370696)
alternative location
http://www.oecd-ilibrary.org/agriculture-and-food/modelling-the-distributional-implications-of-agricultural-policies-in-developing-countries_5kg26l5kjp22-en
date added to LUP
2012-03-12 15:15:17
date last changed
2016-04-15 23:47:27
@misc{2d6eb5f9-449e-4fc8-b981-1dc1402f42f5,
  abstract     = {This paper presents the Development Policy Evaluation Model (DEVPEM), a new simulation model which captures four critical aspects of rural economies in developing countries: (1) the role of the household as both a producer and a consumer of food crops; (2) high transaction costs of participating in markets; (3) market linkages among heterogeneous rural producers and consumers; (4) the imperfect convertibility of land from one use to another. The results of simulations for six country models show that no untargeted agricultural policy intervention is pro-poor within the rural economy. While agricultural policy instruments are less efficient at raising rural incomes than direct payments, the degree of inefficiency of some market interventions, notably input subsidies, is not inevitably as high as observed in developed OECD countries.},
  author       = {Brooks, Jonathan and Filipski, Mateusz and Jonasson, Erik and Taylor, Edward},
  issn         = {1815-6797},
  keyword      = {Agricultural policy,household analysis,welfare,general equilibrium},
  language     = {eng},
  note         = {Working Paper},
  number       = {50},
  pages        = {55},
  publisher    = {OECD Publishing},
  series       = {OECD Food, Agriculture and Fisheries Working Papers},
  title        = {Modelling the Distributional Implications of Agricultural Policies in Developing Countries: The Development Policy Evaluation Model (DEVPEM)},
  url          = {http://dx.doi.org/10.1787/5kg26l5kjp22-en},
  year         = {2011},
}