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Sunday 11 November 2018

Monopsony power in action! Tanzania Cashew crisis

Click here to access an article discussing the crisis over cashew farming in Tanzania. About 20 houses have been burnt down in riots by cashew nut farmers and other protesters in southern Tanzania, the local MP has told the BBC.
Faith Mitambo said two buildings at her home in Liwale town had been set alight and that other houses targeted belonged to members of the ruling CCM party.

The trouble began after payouts being made to farmers for their crop were less than the price agreed last year.
Topics of relevance are monopsony power, supply & demand, government intervention. Excellent real world economics. 

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