Non-separable farm household models in a computable general equilibrium model

Empirical evidence and microeconomic theory suggest that, in many settings, farm household production and consumption decisions are "non-separable." Non-separability may have important policy implications, including lack of response or threshold effects when incentives change. This paper extends the...

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Detalles Bibliográficos
Autores principales: Lofgren, Hans, Robinson, Sherman
Formato: Journal Article
Lenguaje:Inglés
Publicado: Wiley 1999
Materias:
Acceso en línea:https://hdl.handle.net/10568/171618
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author Lofgren, Hans
Robinson, Sherman
author_browse Lofgren, Hans
Robinson, Sherman
author_facet Lofgren, Hans
Robinson, Sherman
author_sort Lofgren, Hans
collection Repository of Agricultural Research Outputs (CGSpace)
description Empirical evidence and microeconomic theory suggest that, in many settings, farm household production and consumption decisions are "non-separable." Non-separability may have important policy implications, including lack of response or threshold effects when incentives change. This paper extends the literature in two ways. First, we develop a non-separable farm household model with transaction costs and endogenous choice of market "regime" (surplus, self-sufficiency, or deficit) for production-consumption items (commodities and factors that are both demanded and supplied by the household). Second, we embed this household model in an economywidecomputable general equilibrium model which is formulated as a mixed-complementarity problem. Simulations with a model based on data for a stylized, low-income, Sub-Saharan African country show that the proposed formulation enhances our ability to analyze the impact of exogenous changes on African farmers."
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spelling CGSpace1716182025-01-29T12:58:27Z Non-separable farm household models in a computable general equilibrium model Lofgren, Hans Robinson, Sherman equilibrium models agricultural sector economic policies microeconomics decision making households computable general equilibrium models Empirical evidence and microeconomic theory suggest that, in many settings, farm household production and consumption decisions are "non-separable." Non-separability may have important policy implications, including lack of response or threshold effects when incentives change. This paper extends the literature in two ways. First, we develop a non-separable farm household model with transaction costs and endogenous choice of market "regime" (surplus, self-sufficiency, or deficit) for production-consumption items (commodities and factors that are both demanded and supplied by the household). Second, we embed this household model in an economywidecomputable general equilibrium model which is formulated as a mixed-complementarity problem. Simulations with a model based on data for a stylized, low-income, Sub-Saharan African country show that the proposed formulation enhances our ability to analyze the impact of exogenous changes on African farmers." 1999-08 2025-01-29T12:58:27Z 2025-01-29T12:58:27Z Journal Article https://hdl.handle.net/10568/171618 en Limited Access Wiley Lofgren, Hans; Robinson, Sherman. 1999. Non-separable farm household models in a computable general equilibrium model. American Journal of Agricultural Economics 81(3): 663-670. https://doi.org/10.2307/1244031.
spellingShingle equilibrium
models
agricultural sector
economic policies
microeconomics
decision making
households
computable general equilibrium models
Lofgren, Hans
Robinson, Sherman
Non-separable farm household models in a computable general equilibrium model
title Non-separable farm household models in a computable general equilibrium model
title_full Non-separable farm household models in a computable general equilibrium model
title_fullStr Non-separable farm household models in a computable general equilibrium model
title_full_unstemmed Non-separable farm household models in a computable general equilibrium model
title_short Non-separable farm household models in a computable general equilibrium model
title_sort non separable farm household models in a computable general equilibrium model
topic equilibrium
models
agricultural sector
economic policies
microeconomics
decision making
households
computable general equilibrium models
url https://hdl.handle.net/10568/171618
work_keys_str_mv AT lofgrenhans nonseparablefarmhouseholdmodelsinacomputablegeneralequilibriummodel
AT robinsonsherman nonseparablefarmhouseholdmodelsinacomputablegeneralequilibriummodel