Agricultural Communications Documentation Center, Funk Library, University of Illinois Box: KerryByrnes4; Folder: Speeches for Adolfo Franco File Document Number: D01626
Notes:
Kerry J. Byrnes Collection, Association of American Chambers of Commerce in Latin America, Washington, DC, 15 pages.
19 pages, 19 pages, The price fluctuation in agricultural markets is an obstacle to poverty reduction for small-scale farmers in developing countries. We build a microfoundation to study how farmers with heterogeneous production costs, under price fluctuations, make crop-planting decisions over time to maximize their individual welfare. We consider both strategic farmers, who rationally anticipate the near-future price as a basis for making planting decisions, and naive farmers, who shortsightedly react to the most recent crop price. The latter behavior may cause recurring overproduction or underproduction, which leads to price fluctuations. We find it important to cultivate a sufficient number of strategic farmers because their self-interested behavior alone, made possible by sufficient market information, can reduce price volatility and improve total social welfare. In the absence of strategic farmers, a well-designed preseason buyout contract, offered by a social entrepreneur or a for-profit firm to a fraction of contract farmers, brings benefit to farmers as well as to the firm itself. More strikingly, the contract not only equalizes the individual welfare in the long run among farmers of the same production cost, but it also reduces individual welfare disparity over time among farmers with heterogeneous costs regardless of whether they are contract farmers or not. On the other hand, a nonsocially optimal buyout contract may reflect a social entrepreneur's over-subsidy tendency or a for-profit firm's speculative incentive to mitigate but not eliminate the market price fluctuation, both preventing farmers from achieving the most welfare.
Online via AgEconSearch., Through a case analysis, authors examined factors involved in successful land circulation (i.e., transfer of land use rights whereby farmers transfer land management rights through subcontracting, leasing or other means. Communications aspects such as expanding leadership talents and use of the Internet platform were among the recommendations offered in such efforts to alleviate poverty and improve lives.
Matovelo, Doris S. (author), Msuya, Jangawe (author), and De Smet, Egbert (author)
Format:
Paper
Publication Date:
2006-05-21
Published:
Tanzania
Location:
Agricultural Communications Documentation Center, Funk Library, University of Illinois Box: 151 Document Number: C24476
Notes:
Retrieved July 5, 2006, Conference sponsored by the International Association for Agricultural Information Specialists (IAALD) in Nairobi, Kenya, May 21-26, 2006. Via Livelihoods Connect. 12 pages., Conference theme: "Managing agricultural information for sustainable food security and improved livelihoods in Africa."
9 pages., Via online journal., Using an agent-based model we explore the model of slavery in modern business developed by Crane (2013). Taking the Spanish agricultural sector—specifically the area of Campo de Dalías in Almería where much of Europe's vegetables are grown—as a case, we find that labour exploitation flourishes in communities of like-minded companies that do not care about mainstream norms. We confirm which socio-economic aspects of labour demand/supply lead to slavery, while challenging the assumption that markets which are dominated by few employers are more prone to exploiting workers. We find that, regarding isolation and connectedness of employers, cluster effects and intense inter-employer communication are particularly effective drivers of underpayment if the cluster is homogenous in terms of wage level and if it is isolated from law-abiding employers. This means that employers tend to confirm and reinforce each other in their illegal behaviour, thus creating enclaves in which non-standard norms prevail and worker exploitation is regarded as legitimate. On the other hand, we see that breaking the isolation of employees among each other only increases pay levels if there are law-abiding employers, pointing to the potentially beneficial role social business and entrepreneurs, state-owned companies, or public entrepreneurs could play for transforming labour conditions of entire markets.
