International Journal of Social and Economic Research
  • Year: 2013
  • Volume: 3
  • Issue: 3

Area Supply Response to Changes in Price: A Case of a Vegetable Crop

  • Author:
  • Pradeep Kumar Mehta
  • Total Page Count: 8
  • DOI:
  • Page Number: 241 to 248

Group Leader, Institute for Rural Research and Development (IRRAD), Gurgaon, Haryana, India

*Corresponding author email id: pradeep_mehta@yahoo.com

Online published on 25 November, 2013.

Abstract

The shift in the cropping pattern, especially towards vegetable crops is considered vital for improving agricultural growth in India. Price policy is one of the major elements to influence farmers for increasing land allocation in favour of vegetable crops. However, effectiveness of price policy depends on the area supply response of farmers to price changes. In this paper, we examine the area supply response behaviour of farmers to changes in price of cauliflower crop and identified factors responsible for diversity in farmers’ responses. We found that age, aggregate income of the household, resource base and nearness to road are the major factors that affected the area supply response behaviour of the farmers.

Keywords

Price, Household trade, Consumption