IDEAS home Printed from https://ideas.repec.org/a/ags/ajaeau/22659.html
   My bibliography  Save this article

Simultaneous-Equations Bias And Agricultural Production Function Estimation

Author

Listed:
  • Duloy, J.H.

Abstract

During the twenty years or so since some early estimations of production functions in agriculture there has been considerable discussion of many of the technical problems associated with such estimation. Although the simultaneous nature of production decisions, leading to the determination of input levels in the production function, was pointed out early in the piece by Marschak and Andrews, little attention has been paid to this aspect of the problem until comparatively recently. The only systematic treatment of these problems is that of Hoch, although there appeared recently in the Economic Record an extended controversy between Konijn and Soper. The purpose of the present paper is to demonstrate that when the profit maximisation conditions are cast in a slightly different form, Hoch's conclusions concerning the existence of simultaneous equations bias cannot be sustained, although there is similarity of assumptions throughout. The treatment initially will be in terms of farms producing a single output. However, the examination of the simultaneous equation problem will be extended to the multiple output case where it will be shown that problems of an entirely different nature arise. The Cobb-Douglas form of production function will be adhered to throughout.

Suggested Citation

  • Duloy, J.H., 1964. "Simultaneous-Equations Bias And Agricultural Production Function Estimation," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 8(02), December.
  • Handle: RePEc:ags:ajaeau:22659
    as

    Download full text from publisher

    File URL: http://purl.umn.edu/22659
    Download Restriction: no

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. McKay, Lloyd & Lawrence, Denis & Vlastuin, Chris, 1982. "Production Flexibility and Technical Change in Australia's Wheat-Sheep Zone," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 50(01), April.

    More about this item

    Keywords

    Production Economics;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:ajaeau:22659. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search). General contact details of provider: http://edirc.repec.org/data/aaresea.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.