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Price-Induced Technical Progress in Italian Agriculture

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Author Info
Roberto ESPOSTI () (Universita' Politecnica delle Marche, Dipartimento di Economia)
Pierpaolo PIERANI ([n.a.])

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Abstract

In this paper we aim at investigating the price-induced innovation hypothesis in Italian agriculture. We generalize the framework of analysis proposed by Peeters and Surry (2000). The generalization includes a short-run specification of the dual technology as well as a quadratic spline in a time variable. We argue that the temporary equilibrium setting gives a more realistic representation of how relative prices may steer innovation and variable input bias over time, while the quadratic function has desirable properties with respect the splined variable, i.e., a more flexible treatment of exogenous technical change.;Results provide evidence in favour of price-induced innovation in Italian agriculture over the years 1951 to 1991.

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Publisher Info
Paper provided by Universita' Politecnica delle Marche (I), Dipartimento di Economia in its series Working Papers with number 275.

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Length: 42
Date of creation: Nov 2006
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Handle: RePEc:anc:wpaper:275

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Related research
Keywords: SGM restricted cost function; induced innovation; italian agriculture;

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Find related papers by JEL classification:
O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General
Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Agricultural Extension Services

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  1. Fernando S. Machado, 1995. "Testing The Induced Innovation Hypothesis Using Cointegration Analysis," Journal of Agricultural Economics, Blackwell Publishing, vol. 46(3), pages 349-360. [Downloadable!] (restricted)
  2. Kohli, Ulrich, 1993. "A Symmetric Normalized Quadratic GNP Function and the U.S. Demand for Imports and Supply of Exports," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 34(1), pages 243-55, February. [Downloadable!] (restricted)
  3. Clark, J. Stephen & Klein, K.K. & Kerr, W.A., 2003. "Fundamental And Induced Biases In Technological Change In Central Canadian Agriculture," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25874, International Association of Agricultural Economists. [Downloadable!]
  4. Sunding, David & Zilberman, David, 2001. "The agricultural innovation process: Research and technology adoption in a changing agricultural sector," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 4, pages 207-261 Elsevier. [Downloadable!] (restricted)
  5. Thirtle, Colin G, 1985. "The Microeconomic Approach to Induced Innovation: A Reformulation of the Hayami and Ruttan Model," The Manchester School of Economic & Social Studies, Blackwell Publishing, vol. 53(3), pages 263-79, September.
  6. Lasserre, Pierre & Ouellette, Pierre, 1991. "The measurement of productivity and scarcity rents : The case of asbestos in Canada," Journal of Econometrics, Elsevier, vol. 48(3), pages 287-312, June. [Downloadable!] (restricted)
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  7. Olmstead, Alan L & Rhode, Paul, 1993. "Induced Innovation in American Agriculture: A Reconsideration," Journal of Political Economy, University of Chicago Press, vol. 101(1), pages 100-118, February. [Downloadable!] (restricted)
  8. Pierani, Pierpaolo & Rizzi, Pier Luigi, 2003. "Technology and efficiency in a panel of Italian dairy farms: an SGM restricted cost function approach," Agricultural Economics, Blackwell, vol. 29(2), pages 195-209, October. [Downloadable!] (restricted)
  9. Thirtle, Colin G & Schimmelpfennig, David E & Townsend, Robert E, 2002. " Induced Innovation in United States Agriculture, 1880-1990: Time Series Tests and an Error Correction Model," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 84(3), pages 598-614, August. [Downloadable!] (restricted)
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