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A Note On Threshold Factor Level(S) And Stone-Geary Technology

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  • BEATTIE, BRUCE R.
  • ARADHYULA, SATHEESH

Abstract

This article proposes the parsimonious Stone-Geary utility function from consumer choice theory as a production function model. The viability of the threshold input idea is empirically demonstrated for irrigation water (and in the case of nitrogen, a “gratis†threshold) using two field trials from the famous Hexem-Heady data sets. The implications of the Stone-Geary model for tractable U-shaped average variable cost and for factor demand and product supply are explored.

Suggested Citation

  • Beattie, Bruce R. & Aradhyula, Satheesh, 2015. "A Note On Threshold Factor Level(S) And Stone-Geary Technology," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 47(4), pages 482-493, November.
    • Handle: RePEc:cup:jagaec:v:47:y:2015:i:04:p:482-493_00
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    Cited by:

    1. Manh D. Pham & Léopold Simar & Valentin Zelenyuk, 2019. "Statistical Inference for Aggregation of Malmquist Productivity Indices," CEPA Working Papers Series WP082019, School of Economics, University of Queensland, Australia.
    2. Marie-Laure Cabon-Dhersin & Nicolas Drouhin, 2021. "Chamberlin without differentiation: Soft-capacity constrained price competition with free entry," Working Papers halshs-03378500, HAL.
    3. Zeytoon Nejad Moosavian, Seyyed Ali & Goodwin, Barry K., 2018. "GENERALIZING THE GENERAL: Generalizing the CES Production Function to Allow for the Flexibility of Input-Driven Output Risk and Viability of Input Thresholds," 2018 Annual Meeting, August 5-7, Washington, D.C. 274352, Agricultural and Applied Economics Association.
    4. Marie‐Laure Cabon‐Dhersin & Nicolas Drouhin, 2023. "Chamberlin without differentiation: Soft capacity constrained price competition with free entry," International Journal of Economic Theory, The International Society for Economic Theory, vol. 19(1), pages 118-126, March.
    5. Marie-Laure Cabon-Dhersin & Nicolas Drouhin, 2022. "Chamberlin without differentiation: Soft-capacity constrained price competition with free entry," Post-Print halshs-03378500, HAL.
    6. Marie-Laure Cabon-Dhersin & Nicolas Drouhin, 2020. "Soft-Capacity constrained price competition with entry and a minimum firm size: Chamberlin without differentiation," Working Papers hal-02909801, HAL.

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