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Terms of Trade in Punjab Agriculture
Indian Economic Review
New Series, Vol. 24, No. 2 (July-December 1989), pp. 263-276
Stable URL: http://www.jstor.org/stable/29793525
Page Count: 14
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The farmers of Punjab, have, through various means, expressed the view that prices received by them are not remunerative and that their income from agriculture has been declining, Since the issue is of considerable significance in the wider setting of economic growth and structural change, this paper attempts to examine the relative movement of prices received and prices paid by farmers and consequently, the direction of change in their purchasing power. Our results indicate that while the net barter terms of trade have moved against agriculture since the mid-seventies, the income terms of trade have shown an improvement during the late seventies as compared to the earlier part of that decade.
Indian Economic Review © 1989 Department of Economics, Delhi School of Economics, University of Delhi