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- Some aspects of interaction between industry and agriculture
Some aspects of interaction between industry and agriculture
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Introduction
The purpose of this dissertation is to examine the economic implications
of some of the price policies that are pursued in many less dev/eloped countries
like India presumably to protect the economically vulnerable sections of the
population from violent price-fluctuations that are often caused by unbridled
operation of market forces. We consider first Government of India's policy of
purchasing food grains from the farmers at a pre-announced, government-administered procurement price and selling them off. through a public distribution
net-work to the urban and semi-urban consumers at a low price, usually called
the ration or issue price. The procurement price also acts as a support price
and is fixed at a remunerative level in order that the farmers are shielded
against market, uncertainties end the government gains command over a sizeable
a portion of the marketable surplus of food grains.
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