The New Palgrave Dictionary of Economics

2018 Edition
| Editors: Macmillan Publishers Ltd

Agricultural Markets in Developing Countries

  • Christopher B. Barrett
  • Emelly Mutambatsere
Reference work entry


The history of agricultural markets in developing countries reflects attempts to establish the appropriate government responses to the inefficiencies created by incomplete institutional and physical infrastructure and imperfect competition. Government intervention in the 1960s and 1970s to resolve market failures gave way in the 1980s to market-oriented liberalization to ‘get prices right’ and, more recently, to ‘get institutions right’. But market openness may accentuate the latent dualism of a modern, efficient marketing sector, accessible only to those with adequate scale and capital, alongside a traditional, inefficient marketing channel to which the poor are effectively restricted.


Agricultural markets in developing countries Agriculture and economic development Border parity pricing Commodity prices Contract enforcement Contract farming Cooperatives Corruption Credit unions Dual economies Enforceability of contracts First fundamental theorem of welfare economics Foreign direct investment (FDI) General Agreement on Tariffs and Trade (GATT) Green Revolution Imperfect competition Imperfect information Incomplete contracts Infrastructure Liberalization: of agriculture Liquidity constraints Market failure Marketing boards Monopsony Non-tariff barriers Oligopsony Price controls Price stabilization Property rights Public goods Rule of law Structural adjustment Subsidies Supermarkets Tariffs Transaction costs World Trade Organization (WTO) 

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Copyright information

© Macmillan Publishers Ltd. 2018

Authors and Affiliations

  • Christopher B. Barrett
    • 1
  • Emelly Mutambatsere
    • 1
  1. 1.