Buffer stock

HideShow resource information
  • Created by: izzy
  • Created on: 11-06-13 09:16

Buffer stock policies can cause a number of problems, which harm and can ultimately undermine both the policy and the agricultural economy. The problems include:

  • Good and bad harvests may not alternate. A succession of bad harvests could lead to a situation in which the government's buffer stock was exhausted and it could no longer prevent the price from rising.
  • However, the opposite problem of


No comments have yet been made

Similar Economics resources:

See all Economics resources »See all Government intervention in markets resources »