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Employment in Agribusiness and Purchases of Agricultural Products: The Effects of Monetization in Yugoslavia

Опубликовано на портале: 17-02-2005
Journal of Agricultural and Applied Economics. 1996.  Vol. 28. No. 2. P. 357-368. 
Efforts to stabilize employment and output in the agricultural sector of Yugoslavia through monetization contributed to inflationary pressures. Granger causality tests suggest that increases in the rate of growth in the supply of money to subsidize state-owned agribusinesses were insufficient to maintain purchases of wheat and corn, but did cause purchases of cattle and swine. This result may be explained by producers having more flexibility in grain marketing (i.e., storage options and private buyers) and the perishability issues related to livestock marketing. The policy to maintain employment through monetization is shown to have been ineffective.

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