Open AccessPrice Subsidy Policy in Brazilian Agriculture:
Author(s) -
Douglas Paranahyba de Abreu,
Adriano Paranaiba,
Alcido Elenor Wander
Publication year - 2018
Publication title -
mises/mises: revista interdisciplinar de filosofia, direito e economia
Language(s) - English
Resource type - Journals
eISSN - 2594-9187
pISSN - 2318-0811
DOI - 10.30800/mises.2018.v0.629
Subject(s) - subsidy , information asymmetry , economics , price policy , agriculture , portuguese , public economics , price support , agricultural policy , interpretation (philosophy) , microeconomics , market economy , production (economics) , geography , computer science , programming language , linguistics , philosophy , archaeology
The present article aims to indicate the peculiarities and contradictions found in the price subsidy policies in Brazilian agriculture in the last decade. Despite State efforts carried out through the Minimum Prices Guarantee Policy (PGPM, in the original Portuguese), they have not been a good alternative for several producers. The Austrian School interpretation indicates that the information is not available in a homogenous way to economic agents and price interventions regarding the grant of subsidies, it bears unrevealed costs that raise the information asymmetry of the candidates for the minimum price policy, being unable to reach its objective of reducing such market information asymmetry.