Estimates of the welfare surplus of consumers and producers of wheat and potato in Iran

کریم پور, ساناز and وجدی حکم آباد, فرنوش and شاکری بستان آباد, رضا Estimates of the welfare surplus of consumers and producers of wheat and potato in Iran. In: 2nd International and 6th National Iranian Congress on Organic vs. Conventional Agriculture, August 2019, Ardabil, Iran.

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Abstract

Governments generally intervene in agricultural markets to support farmers' income, optimal allocation of resources, and a fair distribution of income. Because of the importance of wheat and potatoes in the consumption basket of Iranian households, these two products have always been the focus of policy makers. The purpose of this study was to determine the welfare of producers and consumers of wheat products by land price changes during the years 1993-2016. Graphical and empirical models have been used to investigate the welfare effects of government guaranteed and subsidized wheat and potato consumption subsidies. Survey of the welfare surplus of consumers and producers of wheat showed that during the period under review, despite surplus prices of wheat, the surplus of welfare of producers and consumers of wheat declined. But in the potato crop, consumer and producer surpluses have increased, and consumer welfare has been relatively high.

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