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Abstract

Mathematical models are derived measuring the social benefit and cost of information in comparison to the social benefit or cost of an input (fertilizer) subsidy under different factor market assumptions. In 1975, 54 countries subsidized fertilizers (FAO). In the following countries, the subsidy was as high as 50 percent of the average price of all fertilizers: Ghana, Libya, Niger, Tanzania, Uganda (certain farmers), Iran, and Sri Lanka. In Togo, the subsidy on urea in 1974 was 82 percent (FAO).

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