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Simple econometric models for short term production choices in cropping systems

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  • Alain Carpentier
  • Elodie Letort

Abstract

The aim of this article is to present new models of acreage choices to describe short term production choices. Its construction combines concepts developed in the Positive Mathematical Programming and Multicrop Econometric literatures. They consider land as an allocable fixed input and motivate crop diversification by decreasing returns to crop area and/or implicit costs generated by constraints on acreage choices and by limiting quantities of quasi-fixed factors. Attractive re-parametrization of the standard quadratic production function and different functional forms for cost function are proposed to have parameters easily interpretable and to define econometric models in a very simple way.

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File URL: http://www.rennes.inra.fr/smart/Media/Working-papers/WP10-11
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Bibliographic Info

Paper provided by INRA UMR SMART in its series Working Papers SMART - LERECO with number 10-11.

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Length: 34 p.
Date of creation: 2010
Date of revision:
Handle: RePEc:rae:wpaper:201011

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Keywords: Acreage share; Production function; Multicrop econometric model; Positive Mathematical Programming;

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  1. Moore, Michael R. & Negri, Donald H., 1992. "A Multicrop Production Model Of Irrigated Agriculture, Applied To Water Allocation Policy Of The Bureau Of Reclamation," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 17(01), July.
  2. 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.
  3. Alfons Oude Lansink & Spiro Stefanou, 2001. "Dynamic Area Allocation and Economies of Scale and Scope," Journal of Agricultural Economics, Wiley Blackwell, vol. 52(3), pages 38-52.
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