Applying agricultural household theroy to the analysis of income and employment : A perliminary study for rural JAVA
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Date
1991-10
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University Of Wollongone
Abstract
Most studies of farm household in Indonesia have viewed the household either as a consumer or as a producer rarely has an attempt been made to integrate the production and consumption decisions of a household.This paper presents a preliminary analysis that combines the production and consumption roles of rural household. The analysis is based on the theoretical framework development by lau, lin and yotopoulos (1978) and bamum and squire (1979,1979).The profit function model is used to test the profit maximizing behaviour of the farm household and the LIES model is development to test household untility maximization.The interaction between production and consumption is then derived. The main purpose of this paper is to evaluate the effects of alternative rice pricing policies on farm household labour allocation supply response production and marketable surplus of rice
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Keywords
Product, development , Income