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Agricultural subsidies and agglomeration economies

In many countries, the agricultural subsidy is the existence, whether in order to protect the livelihood of farmers, or to ensure a stable supply of domestic agricultural products, the agricultural subsidy is the subject which may not neglect easily. This article uses new viewpoint which is brought by the economic geography, discusses the influence which the agricultural subsidy brings. We find that: (1) Agricultural subsidy would cause worker's nominal wage to change, causing further changes in production costs, thus affecting the equilibrium output of firms. (2) When subsidies some agricultural region, not necessarily improve the level of subsidy region. (3) If the degree of freedom of trade is low level , subsidies will make up the region's income level.

Identiferoai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0721110-164605
Date21 July 2010
CreatorsHuang, Min-tsung
ContributorsXian-lang Zeng, Tru-gin Liu, Si-shen Chen
PublisherNSYSU
Source SetsNSYSU Electronic Thesis and Dissertation Archive
LanguageCholon
Detected LanguageEnglish
Typetext
Formatapplication/pdf
Sourcehttp://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0721110-164605
Rightsnot_available, Copyright information available at source archive

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