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New Econometric Evidence on Agricultural Total Factor Productivity Determinants: Impact of Funding Sources

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  • Huffman, Wallace
  • Evenson, Robert E.

Abstract

This paper examines the impact of public and private agricultural research and extension on agricultural total factor productivity at the state level. We test the hypothesis that the composition of agricultural experiment station funding—share of funding from impact of federal competitive grants and contracts and from federal formula and state government appropriations---affects the productivity of public agricultural research using data for the 48 contiguous states over 1970-1999.  Our results show not only that sources of funding matter, but that an increase in federal competitive grant funding at the expense of federal formula funding would lower the productivity of public agricultural research. Furthermore, our simulation results show that a few states would most likely gain by a re-allocation of federal formula to grant and contract funding but most would lose.

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File URL: http://www.econ.iastate.edu/sites/default/files/publications/papers/p3826-2003-12-18.pdf
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Bibliographic Info

Paper provided by Iowa State University, Department of Economics in its series Staff General Research Papers with number 11176.

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Date of creation: 18 Dec 2003
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Handle: RePEc:isu:genres:11176

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Postal: Iowa State University, Dept. of Economics, 260 Heady Hall, Ames, IA 50011-1070
Phone: +1 515.294.6741
Fax: +1 515.294.0221
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Web page: http://www.econ.iastate.edu
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  1. Kevin J. Stiroh & Dale W. Jorgenson, 2000. "U.S. Economic Growth at the Industry Level," American Economic Review, American Economic Association, vol. 90(2), pages 161-167, May.
  2. Alan McCunn & Wallace E. Huffman, 2000. "Convergence in U.S. Productivity Growth for Agriculture: Implications of Interstate Research Spillovers for Funding Agricultural Research," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, Agricultural and Applied Economics Association, vol. 82(2), pages 370-388.
  3. Evenson, Robert E., 2001. "Economic impacts of agricultural research and extension," Handbook of Agricultural Economics, Elsevier, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 1, chapter 11, pages 573-628 Elsevier.
  4. Albert K. A. Acquaye & Julian M. Alston & Philip G. Pardey, 2003. "Post-War Productivity Patterns in U.S. Agriculture: Influences of Aggregation Procedures in a State-Level Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, Agricultural and Applied Economics Association, vol. 85(1), pages 59-80.
  5. Alston, Julian M. & Pardey, Philip G., 2001. "Attribution and other problems in assessing the returns to agricultural R&D," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 25(2-3), September.
  6. Huffman, Wallace & Evenson, Robert E., 2003. "Determinants of the Demand for State Agricultural Experiment Station Resources: A Demand-System Approach," Staff General Research Papers 11175, Iowa State University, Department of Economics.
  7. Alston, Julian M. & Craig, Barbara J. & Pardey, Philip G., 1998. "Dynamics in the creation and depreciation of knowledge, and the returns to research:," EPTD discussion papers 35, International Food Policy Research Institute (IFPRI).
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Cited by:
  1. Evenson, Robert E. & Rosegrant, Mark W. & Msangi, Siwa & Sulser, Timothy B., 2006. "Green Revolution Counterfactuals," 2006 Annual meeting, July 23-26, Long Beach, CA 21363, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Chan, Ming Ming & Shi, Qun & Tyers, Rodney, 2005. "Global Demographic Change and Economic Performance: Implications for Agricultural Markets," 2005 Conference (49th), February 9-11, 2005, Coff's Harbour, Australia 137808, Australian Agricultural and Resource Economics Society.
  3. Huffman, Wallace & Evenson, Robert E., 2003. "Determinants of the Demand for State Agricultural Experiment Station Resources: A Demand-System Approach," Staff General Research Papers 11175, Iowa State University, Department of Economics.
  4. Ukoha, O.O & Okoye, B.C & Emetu, J, 2010. "Analysis of the Determinants of Total Factor Productivity among Small-Holder Cassava Farmers in Ohafia L.G.A of Abia State," MPRA Paper 26125, University Library of Munich, Germany.

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