The Analysis of the Market Price Support and Difference Payment System Practices in Turkey Using Partial Equilibrium Model
The Analysis of the Market Price Support and Difference Payment System Practices in Turkey Using Partial Equilibrium Model

Summary/Abstract: In Turkey, the effectiveness of the agricultural support policies is a constantly discussed matter. The purpose of this study is to analyse and compare the effects of the „MPS“ and „DPS“ on the welfare of the producer and the consumer, and on the net society losses and gains. In the study, „wheat“ has been taken into account, which is generally accepted as the key product. In line with the purpose of the study, Partial Equilibrium Model(PEM) has been used when analysing the data.In accordance with the results of the study, it has been established that „DPS“ is the preferred alternative as far as net social revenues are concerned, and „MPS“ is the preferred alternative as far as reducing the budget burden is concerned.

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