THE EVALUATION OF SOME STRATEGIES TO ASSIST FARMERS EXPERIENCING SERIOUS LIQUIDITY PROBLEMS

C. W. Mostert and J. van Zyl

Agrekon, 1989, vol. 28, issue 3

Abstract: Various financial aid measures can be applied to assist farmers experiencing serious liquidity problems. Five selected strategies (aid measures) were evaluated according to certain criteria in a simulation model. The results proved that there are relative advantages to the various strategies in terms of the liquidity and solvency of the farm business. Only a few strategies succeeded in bringing about a significant improvement in the financial position of the firm. The success of financial aid measures depends heavily on the addressing of external problems such as inflation and interest rates. Other assistance, of a non-financial nature, should also be made available.

Keywords: Agricultural and Food Policy; Financial Economics (search for similar items in EconPapers)
Date: 1989
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Persistent link: https://EconPapers.repec.org/RePEc:ags:agreko:268006

DOI: 10.22004/ag.econ.268006

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