AUTHOR
Norberg, Anna

DATE
2000-05-24

DEPARTMENT
Business Administration and Social Sciences / Economics

SUMMARY
The thesis-work analyses the price forming of rice in Viet Nam from 1979 until present. Applied theory is Marshall’s idea of price forming through demand and supply equilibrium and the Cobweb-model. Only domestic market is analysed. Viet Nam has and has had difficulties giving rice-producers enough incentives to maximize production, investments are too low and the transaction-costs of domestic rice-trade are high. The price-stabilizing policy has lowered the real price level of rice, which after 1992 successfully been kept at a stable level. Viet Nam lacks the institutions needed for prices to stabilize by themselves. The real prices of rice are too low considering the excess in demand.

ISSN 1404-5508 / ISRN LTU-SHU-EX--00/082--SE / NR 2000:082