Economy, asked by qwerty2017, 1 year ago

Role of private sector in input and output marketing

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Answered by jordan13
1
Input supply can be usefully subdivided into three types of services:

Fertilizers and chemicals

Seeds and planting materials

Machinery and equipment.

Crop marketing is the fourth type of service examined in this Chapter.

Inputs, equipment, and crops are mainly private goods because most are excludable and rivalrous. Indeed, production and distribution of agricultural inputs and equipment, as well as crop marketing, are typical private sector businesses in most OECD countries. In principle, and with some exceptions discussed later, it should be possible to decentralize these services in developing countries through market liberalization, encouragement of private and voluntary sector organizations to enter service provision and improved efficiency and/or divestment of public sector organizations.

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