Rural Poverty and Government Intervention: The Case of the Argentine Yerba Mate Industry

Raul Fiorentino and Gerald W. Dean

American Journal of Agricultural Economics, 1974, vol. 56, issue 4, 751-763

Abstract: A simple econometric model was used to demonstrate that government intervention in the yerba mate market has favored large producers and processors in the Argentine province of Misiones. Large producers have benefited not only through high price supports but also by integrating vertically to appropriate the price support benefits intended for small farmers. An alternative mixed policy strategy believed to be both economically feasible and politically acceptable was proposed to alleviate rural poverty associated with the yerba mate industry. This policy includes changes in land tenure and farm operational systems along with modifications in current price policy.

Date: 1974
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Persistent link: https://EconPapers.repec.org/RePEc:oup:ajagec:v:56:y:1974:i:4:p:751-763.

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