Millers, Commission Agents and Collusion in Grain Auction Markets: Evidence from Basmati Auctions in North India

This paper undertakes structural estimation of asymmetric auction models in a market for basmati, and detects the presence of a cartel consisting of a large (in market share) local miller and commission agents purchasing for large distant millers. The contracts between the distant millers and their commission agents help to explain the specific form that collusion takes. Simulations indicate that (i) the cartel gains considerably by colluding, over the competitive outcome; (ii) however, sellers (farmers) do not lose significantly under collusion when the commission agents bid; (iii) a knowledgeable auctioneer would choose much higher starting prices for auctions when commission agents bid, compared with the observed starting prices. The paper also shows that efficient collusion, the form of collusion commonly assumed in the literature, does not explain the data well.Auctions, Cartels, Agricultural Markets.

SOCIAL CONTRACTS, MARKETS AND EFFICIENCY -- GROUNDWATER IRRIGATION IN NORTH INDIA

This paper uses primary data to analyze the institutions and informal markets that govern groundwater allocation in the principal sugarcane belt of North India. In contrast to earlier literature, we find that the observed water trades result in efficient water allocation across farms. We interpret this and other stylized facts in terms of a simple bargaining model with limited inter-player transfers. Poor functioning of the power sector leads to reduced pumping and a water supply constraint. Simulations show that power supply reform can significantly increase farm yields, be financed out of the increased farm profits, and provide an instrument to use for attaining intertemporal efficiency in water allocation.water markets, market structure, water production function.

Are consumers willing to pay more for biofortified foods?: Evidence from a field experiment in Uganda

Vitamin A deficiency is a major health problem in Africa and in many other developing countries. Biofortified staple crops that are high in beta-carotene and adapted to local growing environments have the potential to significantly reduce the prevalence of vitamin A deficiency. One such example is the orange sweet potato (OSP). Because of its distinctive orange color, which is in contrast to the white varieties that are typically consumed in Africa, it is important to assess whether consumers will accept it. This paper attempts to address this question by using a choice experiment with the real product to quantify the magnitude of the premium or discount in consumers' willingness to pay that may be associated with it. It also considers the extent to which the provision of nutrition information affects valuations. Finally, the paper addresses whether the use of hypothetical scenarios is justified in a developing country context, and quantifies the magnitude of hypothetical bias that results as a consequence. We examine whether a “cheap talk” script, which as elaborated in the paper, reminds respondents that hypothetical scenarios are to be treated as if they are real, is effective in mitigating hypothetical bias. The experiment was conducted in Uganda, a key target country for the dissemination of orange sweet potato. Our results suggest that in the absence of nutrition information, there is no difference between white and orange varieties in consumers' willingness to pay, but there is a discount for yellow sweet potato (which does not have any beta-carotene). The provision of nutrition information does translate into substantial premia for the orange varieties, indicating that an information campaign may be key to driving market acceptance of the new product. Finally, there is a substantial hypothetical bias in both the willingness to pay (WTP), and the marginal WTP, for the new varieties; while “cheap talk” may mitigate this bias, it does not eliminate it.Cheap talk, Field experiments, Hypothetical bias, conjoint analysis, Universal logit,

The changing pattern of undernutrition in India: A comparative analysis across regions

This study analyses the changes in prevalence of undernutrition between the 1980s and 1990s at the national and sub-national levels in India and focuses on the rural-urban comparisons. The study exploits the demographic information available in household surveys to derive a household-specific norm as the calorie cutoff point to measure undernutrition, instead of the single per capita norm used in most other studies. The main findings of the study are: There has been an apparent increase in the prevalence of undernutrition over time in rural India, while in urban areas, the prevalence has remained unchanged, or has declined. Also, over time, average intakes in urban areas have surpassed those in rural India in most states. At the same time, there appears to be a decline in the within-state inequalities in energy intakes between 1983 and 1993/94, but an increase (especially in urban areas) between 1993/94 and 1999/2000. Income elasticities of energy demand, estimated using household-level data, are large and significant, especially among the poor. There is some evidence that, despite declining energy intakes in rural areas, there has also been some dietary diversification. However, in comparison with other developing nations, the prevalence of undernutrition is high and the level of dietary diversification is low in India. – calories ; consumption ; poverty ; Indi

The nutrition transition and the intra-household double burden of malnutrition in India

India is clearly far along in the nutrition transition. This paper shows that there have been rapid increases in the proportion of adult women in India who are overweight and obese: these increases are seen not just in urban but in rural areas as well, and there are regional specificities. Correspondingly, diabetes and hypertension affect a large proportion of adults, even as childhood undernutrition remains a public health problem. These have important consequences for the design of public health systems, especially in rural India. At the same time, the intra-household dual burden of malnutrition is also increasing. Among other factors, households with wealthier and less educated mothers, and children born with a healthy weight, seem less vulnerable to the dual burden of malnutrition. Also significant are household expenditure (suggesting that the phenomenon is associated with affluence) and lifestyle choices, calling for better and nuanced behavior change communication strategies

Using a Discrete Choice Experiment to Elicit the Demand for a Nutritious Food: Willingness-to-Pay for Orange Maize in Rural Zambia

Using a discrete choice experiment, this paper estimates the willingness to pay for biofortified orange maize in rural Zambia. The study design has five treatment arms, which enable an analysis of the impact of nutrition information, comparing the use of simulated radio versus community leaders in transmitting the nutrition message, on willingness to pay, and to account for possible novelty effects in the magnitude of premiums or discounts. The estimation strategy also takes into account lexicographic preferences of a subset of our respondents. The results suggest that (a) orange maize is well liked and can compete with white maize in the absence of a nutrition campaign, (b) there is a premium for orange maize with nutrition information, and (c) the mode of nutritional-message dissemination does not have a large impact on consumer acceptance, and (d) novelty effects do not translate into higher willingness to pay for orange maize.

Consumer acceptance of provitamin A orange maize in rural Zambia:

This study analyzes consumer acceptance of biofortified orange maize in rural Zambia by eliciting consumers' willingness to pay. It attempts to examine the impact of nutrition information, comparing the use of simulated radio versus community leaders in transmitting the nutrition message, on consumer acceptance. Finally, it assesses whether product experience in a home-use setting influences the magnitude of premiums or discounts. The results suggest that (a) the negative perception of yellow maize does not affect orange maize which is well liked, (b) there is a premium for orange maize with nutrition information, (c) the mode of nutritional-message dissemination does not have a large impact on consumer acceptance, and (d) product experience does not translate into lower willingness to pay for orange maize.maize, willingness to pay, consumer acceptance,

Antiproteinuric effects of cilnidipine and amlodipine as add on therapy in hypertensive patients with chronic renal disease: a comparative study

Background: Cilnidipine is a dual blocker of L type and N type calcium channel and dilates both afferent and efferent arterioles. Hence it increases renal blood flow and reduces glomerular pressure ultimately reducing proteinuria. Thus, it may exert renoprotective effects. The present study was designed to compare the antiproteinuric effects of cilnidipine and amlodipine in hypertensive patients with chronic kidney disease as add on therapy to patients on losartan.Methods: This is a randomized, open label, prospective, parallel group study conducted in the out patient Department of Nephrology. The trial enrolled Diabetic CKD patients with hypertension and with spot urine protein creatinine ratio (PCR) ≥0.2 who were being treated with T. Losartan 50mg/day for >2 months. The subjects were then randomly assigned to 2 groups to receive either cilnidipine 10-20mg/day (Group A-46) or amlodipine 5-10mg/day (Group B- 50). The drugs were given for a duration of 6 months for each patient. The dose of losartan (50mg/day) was not adjusted throughout the study.Results: After 6 months, a significant reduction in systolic and diastolic blood pressure was seen in both the groups. The decrease in urinary protein creatinine ratio was significantly higher in cilnidipine group rather than amlodipine group. Thus, cilnidipine exerted greater antiproteinuric effect than amlodipine.Conclusions: Cilnidipine has antihypertensive effect equivalent to amlodipine but addition of cilnidipine rather than amlodipine to losartan decreased urine protein excretion in diabetic chronic kidney disease patients

Potential impacts of iron biofortification in India

Iron deficiency is a widespread nutritional problem in developing countries, causing impaired physical activity and cognitive development, as well as maternal mortality. Although food fortification and supplementation programmes have been effective in some countries, their overall success remains limited. Biofortification, that is, breeding crops for higher micronutrient content, is a relatively new approach. We propose a methodology for ex-ante impact assessment of iron biofortification, which builds on disability-adjusted life years (DALYs) and a large household data set. Our analysis of iron-rich rice and wheat in India indicates sizeable potential health benefits. The cost-effectiveness of iron biofortification compares favourably with other interventions