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Market instability, stabilization, and a New Zealand case study in guaranteed pricing

, : Market instability, stabilization, and a New Zealand case study in guaranteed pricing. Acta Horticulturae (55): 53-60

This paper discusses the effects of market instability on horticultural producers and illustrates how instability may be overcome with a description of a New Zealand apples and pears price guarantee scheme: the 2 main problems in the scheme were that guaranteed average price need not reflect the trend in actual average prices, and the other was the allocation of off-farm marketing costs among producers in the various fruit growing districts.

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