Quicksearch
Table of contents alert
Do you want to receive an email alert about new issue?



   

Volume 56, Issue 9 -10

top

An Analysis of the Cost of the Supporting and Guarantee Agricultural and Forestry Fund (SGAFF) in the Czech Republic (in English)

Janda, Karel

Year: 2006   Volume: 56   Issue: 9 -10   Pages: 416-434

Abstract: The paper analyzes the cost to the Czech state budget of the Supporting and Guarantee Agricultural and Forestry Fund (SGAFF). In the empirical part of the paper, the author shows that the SGAFF portfolio has sufficient value to cover the expected costs of the credit guarantees and subsidies offered by the fund. The theoretical model looks at government interventions designed to decrease the credit rationing of farmers with high probability of success. The theoretical model shows that, with uniform non-targeted supports, the Czech government unambiguously prefers lump-sum guarantees to interest-rate subsidies. With support targeted wholly to disadvantaged farmers, the cost of lump-sum guarantees, proportional guarantees, and interest-rates subsidies are all equal.

JEL classification: D82, G28, P31

Keywords: credit; guarantees; subsidies; transition

DOI:

RePEc: http://ideas.repec.org/a/fau/fauart/v56y2006i9-10p416-434.html

pdf Attachment [PDF] print Print   Recommend to others Recommend to others
bottom