ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

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Price Stability and Futures

Farmers growing agricultural commodities have suffered due to price fluctuations but not all risk in production management is exogenous. Imperfect information systems and methods of analysis also share part of the blame. Traditional stabilisation funds and subsidies are distortionary and a more efficient market mechanism to manage price risk may be the use of futures.

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