Subsistence Agriculture in Transition Economies: Its Roles and Determinants

• DOI: 10.1111/j.1477-9552.2004.tb00115.x
• Publication Date: 2007-11-07T05:44:43Z
• Authors: Philip Kostov; John Lingard
• Keywords: Subsistence economy

This paper discusses some beneficial effects of subsistence agriculture with emphasis on transition countries. Micro‐economic models are reviewed and a two‐stage decision model, combining risk aversion transaction costs explanations for is developed. The role addressed in static comparison to purely commercial agriculture. We argue that can play stabilising have impacts the agricultural sector when resources it employs unwanted by sector. exact conditions under which latter true analysed general equilibrium framework. Employing concept level consumption, demonstrates these be valid dynamic perspective, provided additional met. Policy recommendations regard commercialisation presented. These explicitly rely upon assumptions about orientation farmers. lack current research into this important behavioural feature farmers countries requires urgent action. There need more motivation, objectives behaviour rural economies transition.