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Production Interrelationships In Sri Lankan Peasant Agriculture

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  • Shumway, C. Richard
  • Jegasothy, Kandiah
  • Alexander, William P.

Abstract

Technical change and the extent to which commodity supplies and input demands are interrelated in Sri Lankan peasant agriculture are explored in this paper. Using a multiple-product dual model, a seemingly unrelated system of product supply and input demand equations is estimated for four crops and four variable inputs. Restrictions based on competitive behaviour and a twice continuously-differentiable production function are maintained in the non-linear least squares estimation. A number of important interrelationships in individual product supplies and input demands are identified, further documenting the need to account for intercommodity production relationships in econometric and simulation studies and in policy formulation. Non-joint production and Hicksneutral technical change are both rejected.

Suggested Citation

  • Shumway, C. Richard & Jegasothy, Kandiah & Alexander, William P., 1988. "Production Interrelationships In Sri Lankan Peasant Agriculture," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 31(1), pages 1-13, April.
    • Handle: RePEc:ags:ajaeau:22575
    DOI: 10.22004/ag.econ.22575
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    1. Unterschultz, James R. & Jeffrey, Scott R. & Quagrainie, Kwamena K., 2000. "Value-Adding 20 Billion By 2005: Impact At The Alberta Farm Gate," Project Report Series 24049, University of Alberta, Department of Resource Economics and Environmental Sociology.
    2. John Baffes, 1998. "Structural reforms and price liberalization in Mexican agriculture," Journal of International Development, John Wiley & Sons, Ltd., vol. 10(5), pages 575-587.
    3. Jeffrey D. Vitale & Hamady Djourra & Aminata Sidibé, 2009. "Estimating the supply response of cotton and cereal crops in smallholder production systems: recent evidence from Mali," Agricultural Economics, International Association of Agricultural Economists, vol. 40(5), pages 519-533, September.
    4. Kivanda, Lena & Fox, Glenn, 1993. "Falsification and the Practice of Agricultural Production Economists: A Methodological Assessment," Department of Agricultural Economics and Business 258724, University of Guelph.
    5. K. Jegasothy & C. R. Shumway & H. Lim, 1990. "Production Technology And Input Allocations In Sri Lankan Multicrop Farming," Journal of Agricultural Economics, Wiley Blackwell, vol. 41(1), pages 33-46, January.
    6. Will Martin & Julian M. Alston, 1997. "Producer Surplus without Apology? Evaluating Investments in RD," The Economic Record, The Economic Society of Australia, vol. 73(221), pages 146-158, June.
    7. Aradhyula, Satheesh Venkata, 1989. "Policy structure, output supply and input demand for US crops," ISU General Staff Papers 198901010800009909, Iowa State University, Department of Economics.

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