Impact of Rice Price Fluctuations on the Welfare of Paddy Farmers

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This analysis reveals rice price fluctuations affect farmer welfare in East Java, highlighting key factors influencing rice prices.

The study shows that fluctuations in rice prices significantly impact the welfare of paddy farmers in East Java.
Results indicate that rice production is notably influenced by previous years' prices and harvested area size.
Utilizing a simultaneous equation model, Two-Stage Least Squares and Multiple Linear Regression, the study spans from 2009 to 2023.
The findings suggest that high rice FER indicates farmer prosperity, with an average rate of 102.86% over the years.

Fadilah et al. (2025) studied this question.

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