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Utilization Of Relative Land Allocation In The Calibration Of Agriculture Supply Models By The Pmp Approach

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  • Barkaoui, Ahmed
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    Abstract

    This poster proposes a new procedure in agriculture supply modelling by the positive mathematical programming (PMP) approach. This approach is now widely used in last CAP reform simulations. However, simulation behaviour and performances of PMP procedures depend of the way parameters of the non linear total cost function in the objective function are recovered. We propose a new specification of the total cost function where land is explicitly considered as a fixed input. By using relative parts of land of the different activities this new PMP procedure permits to better capture production behaviour when economic conditions. It also permits to avoid a drawback of the early procedures concerning marginal activities

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    File URL: http://purl.umn.edu/44859
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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 109th Seminar, November 20-21, 2008, Viterbo, Italy with number 44859.

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    Date of creation: 14 Nov 2008
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    Handle: RePEc:ags:eaa109:44859

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    Related research

    Keywords: Positive Mathematical Programming; CAP; Agricultural and Food Policy; Research Methods/ Statistical Methods; Q10; Q18;

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    1. Thomas Heckelei & Hendrik Wolff, 2003. "Estimation of constrained optimisation models for agricultural supply analysis based on generalised maximum entropy," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 30(1), pages 27-50, March.
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