Economies Of Scale In Agriculture: A Reexamination Of The Evidence
AbstractIt is generally accepted that agricultural production is characterized by increasing returns to scale. In this paper we examine the evidence allegedly supporting this assertation and come to the conclusion that the hypothesis of increasing returns is not warranted. The essence of our argument is that if increasing returns were important we would have seen huge "food factories" dominating the industry. Instead, the dominating form of organization is the family unit and farms come in a multitude of sizes--as can be expected in a constant cost industry.
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Bibliographic InfoPaper provided by University of Minnesota, Department of Applied Economics in its series Staff Papers with number 13652.
Date of creation: 1991
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CEMA Working Papers: Serie Documentos de Trabajo.
415, Universidad del CEMA.
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- Peterson, Willis L., 1991. "Relation Between Crop Yields And Estimated Returns To Scale And Returns To Research," Staff Papers 13430, University of Minnesota, Department of Applied Economics.
- Dries, Liesbeth & Swinnen, Johan F. M., 2002. "Institutional Reform and Labor Reallocation During Transition: Theory Evidence From Polish Agriculture," World Development, Elsevier, vol. 30(3), pages 457-474, March.
- Johan F. M. Swinnen & Liesbeth Dries & Karen Macours, 2005.
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International Association of Agricultural Economists, vol. 32(1), pages 15-34, 01.
- Johnson, Nancy L. & Ruttan, Vernon W., 1993. "Why Are Farms So Small?," Staff Papers 13865, University of Minnesota, Department of Applied Economics.
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