Beyond Chayanov: Investment Decisions in the Rural Third World—the Viewpoint of Farmers, Bankers, and the Central Government

This article suggests criteria for defining and measuring profits in Third World rural activities. Some of the criteria (e.g., discount rate, exchange rate, externalities) are rarely discussed by anthropologists. Measures of profit for the same activity may differ by the viewpoint chosen. With an example, I show how a farmer, an official from the government budget office, a banker, and the central government budget office calculate profits. The conclusion contains a discussion of the limitations of the model.