Adjustment and the Performance of the Agricultural Sector: A Comparative Study of Cameroon and Kenya

The interaction between macroeconomic and trade issues and agriculture is not well understood. In sub-Saharan Africa, this relation becomes critical in recent structural adjustment programmes, especially in countries where agriculture is the mainstay of the economy. This paper examines empirically examples of a non-liberalized economy and a gradually liberalizing economy in the region. It demonstrates that a sufficiently monolithic and inefficient agricultural marketing structure results in the slow transmission of foreign exchange gains to farm gate prices that constrain potential supply response. Monetary policy impacts seem to be a function of greater macroeconomic liberalization than non-liberalization, especially when, in the latter case, domestic currencies are pegged directly to foreign currencies.


Issue Date:
1992
Publication Type:
Conference Paper/ Presentation
DOI and Other Identifiers:
Record Identifier:
https://ageconsearch.umn.edu/record/197889
PURL Identifier:
http://purl.umn.edu/197889
Page range:
290-297
Total Pages:
8




 Record created 2017-04-01, last modified 2019-08-30

Fulltext:
Download fulltext
PDF

Rate this document:

Rate this document:
1
2
3
 
(Not yet reviewed)