IDEAS home Printed from https://ideas.repec.org/a/ags/remaae/12245.html
   My bibliography  Save this article

The Social Benefits from an Increase in Productivity in a Part of an Industry

Author

Listed:
  • Edwards, Geoff W.
  • Freebairn, John W.

Abstract

Productivity often increases in a part of an industry while remaining unchanged in the rest of the industry. In assessing the social gain from a productivity increase in a part of an industry producing a tradeable commodity it is necessary to consider the relationships between the part of the industry affected, the industry in the rest of the country concerned and the industry in the rest of the world. In this paper an attempt to assess the social benefits of serrated tussock control on the tablelands of New South Wales is critically reviewed and found wanting. An analytical framework is outlined that is conceptually appropriate to that task, and to other situations where cost per unit of output is reduced in a part of an industry. The social gains from the control of serrated tussock on the New South Wales tablelands are recalculated. A discussion is also presented of some issues in the distribution of the gains from research.

Suggested Citation

  • Edwards, Geoff W. & Freebairn, John W., 1982. "The Social Benefits from an Increase in Productivity in a Part of an Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 50(02), pages 1-18, August.
    • Handle: RePEc:ags:remaae:12245
    DOI: 10.22004/ag.econ.12245
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/12245/files/50020193.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.12245?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. R. Duncan & C. Tisdell, 1971. "Research and Technical Progress: The Returns to Producers," The Economic Record, The Economic Society of Australia, vol. 47(1), pages 124-129, March.
    2. Duncan, R & Tisdell, Clem, 1971. "Research and Technical Progress: The Returns to Producers," The Economic Record, The Economic Society of Australia, vol. 47(117), pages 124-129, March.
    3. Roger N. Rose, 1980. "Supply Shifts and Research Benefits: Comment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 62(4), pages 834-837.
    4. Masakatsu Akino & Yujiro Hayami, 1975. "Efficiency and Equity in Public Research: Rice Breeding in Japan's Economic Development: Reply," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 57(4), pages 734-735.
    5. Emerson, Peter M. & Plato, Gerald E., 1978. "Social Returns To Disease And Parasite Control In Agriculture: Witchweed In The United States," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 30(1), pages 1-8, January.
    6. Campbell, Rachel & Gardiner, B. & Haszler, Henry, 1980. "On The Hidden Revenue Effects Of Wool Price Stabilisation In Australia: Initial Results," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 24(1), pages 1-15, April.
    7. R. K. Lindner & F. G. Jarrett, 1980. "Supply Shifts and the Size of Research Benefits: Reply," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 62(4), pages 841-844.
    8. Alan A. Powell, 1959. "Export Receipts And Expansion In The Wool Industry," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 3(2), pages 64-74, December.
    9. Quilkey, John J., 1970. "The Merino Export Embargo - A Comparative Static Analysis," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 14(1), pages 1-9, June.
    10. Vere, David T. & Sinden, Jack A. & Campbell, M.H., 1980. "Social Benefits of Serrated Tussock Control in New South Wales," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 56(03), pages 1-16, December.
    11. R. Campbell & B. Gardiner & H. Haszler, 1980. "On The Hidden Revenue Effects Of Wool Price Stabilisation In Australia: Initial Results," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 24(1), pages 1-15, April.
    12. Joseph G. Nagy & W. Hartley Furtan, 1978. "Economic Costs And Returns From Crop Development Research: The Case Of Rapeseed Breeding In Canada," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 26(1), pages 1-14, February.
    13. R. K. Lindner & F. G. Jarrett, 1978. "Supply Shifts and the Size of Research Benefits," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 60(1), pages 48-58.
    14. Masakatsu Akino & Yujiro Hayami, 1975. "Efficiency and Equity in Public Research: Rice Breeding in Japan's Economic Development," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 57(1), pages 1-10.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. David T. Vere & Randall E. Jones & Garry R. Griffith, 2003. "Economic benefits of public investment in weed management: the case of vulpia in south‐eastern Australia's temperate pasture areas," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(4), pages 519-539, December.
    2. Pannell, David J., 1988. "Weed Management: A Review of Applied Economics Research in Australia," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 56(03), pages 1-15, December.
    3. Brennan, John P. & Thorne, Fiona S. & Kelly, Paul W. & Murray, Gordon M., 2004. "Defining the Costs of an Outbreak of Karnal Bunt of Wheat," 2004 Conference (48th), February 11-13, 2004, Melbourne, Australia 58382, Australian Agricultural and Resource Economics Society.
    4. Carmody, M.J. & Hardaker, J. Brian & Powell, Roy A. & Everett, R.E., 1984. "An Economic Evaluation of the Footrot Eradication Program in the New England Region of New South Wales," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 52(01), pages 1-13, April.
    5. J. P. Voon & G. W. Edwards, 1991. "Research Payoff From Quality Improvement: The Case Of Backfat Depth In Pigs," Journal of Agricultural Economics, Wiley Blackwell, vol. 42(1), pages 66-76, January.
    6. Hardaker, J. Brian & Anderson, Jock R. & Dillon, John L., 1984. "Perspectives On Assessing The Impacts Of Improved Agricultural Technologies In Developing Countries," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 28(2-3), pages 1-22, August.
    7. Vere, David T. & Jones, Randall E. & Dowling, Peter, 2004. "An Economic Evaluation of Research into the Improved Management of the Annual Grass Weed Vulpia in Temperate Pastures in South-Eastern Australia," Research Reports 42503, New South Wales Department of Primary Industries Research Economists.
    8. Charyulu, D. Kumara & Shyam, D. Moses & Bantilan, Ma Cynthia S. & Nedumaran, S. & Davis, Jeff, 2014. "Unit Cost Reduction across Production Environments and Measurement of Welfare Changes," 2014 Conference (58th), February 4-7, 2014, Port Macquarie, Australia 165847, Australian Agricultural and Resource Economics Society.
    9. Vere, D. T. & Jones, R. E. & Saunders, Glen, 2004. "The economic benefits of rabbit control in Australian temperate pastures by the introduction of rabbit haemorrhagic disease," Agricultural Economics, Blackwell, vol. 30(2), pages 143-155, March.
    10. Julian M Alston, 2018. "Reflections on Agricultural R&D, Productivity, and the Data Constraint: Unfinished Business, Unsettled Issues," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 100(2), pages 392-413.
    11. Taleb, M. & Collins, D., 1992. "Cost Effective Lice Control Strategies in NSW and the Value of Extension," 1992 Conference (36th), February 10-13, 1992, Canberra, Australia 147325, Australian Agricultural and Resource Economics Society.
    12. Young, Ralph & Carter, Marc, 1990. "The Economic Evaluation of Environmental Research: A Case Study of the South-East Forests," 1990 Conference (34th), February 13-15, 1990, Brisbane, Australia 145486, Australian Agricultural and Resource Economics Society.
    13. Alston, Julian M., 1991. "Research Benefits in a Multimarket Setting: A Review," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 59(01), pages 1-30, April.
    14. Brennan, John P. & Godyn, Dirk L. & Johnston, Brian G., 1989. "An Economic Framework for Evaluating New Wheat Varieties," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 57(01-02-03), pages 1-18, December.
    15. Edwards, Geoff W., 1987. "Evaluating the Research Benefits for Traded Commodities," Evaluating Agricultural Research and Productivity, Proceedings of a Workshop, Atlanta, Georgia, January 29-30, 1987, Miscellaneous Publication 52 50025, University of Minnesota, Agricultural Experiment Station.
    16. McLeod, Ross & Collins, D.J. & Barnes, E.H. & Dobson, R.J., 1992. "Estimating the Gains of Strategic Internal Parasite Control in Sheep," 1992 Conference (36th), February 10-13, 1992, Canberra, Australia 146545, Australian Agricultural and Resource Economics Society.
    17. Jones, R. E. & Vere, D. T. & Campbell, M. H., 2000. "The external costs of pasture weed spread: an economic assessment of serrated tussock control," Agricultural Economics, Blackwell, vol. 22(1), pages 91-103, January.
    18. Collins, D. & Poulter, David, 1990. "Estimation of Welfare Gains from the Parasite Control Program 'Wormkill'," 1990 Conference (34th), February 13-15, 1990, Brisbane, Australia 144925, Australian Agricultural and Resource Economics Society.
    19. Unknown, 1985. "Proceedings of an international seminar Manila, Philippines, 27-30 May 1985: Pesticides and Humid Tropical Grain Storage Systems," ACIAR Proceedings Series 134364, Australian Centre for International Agricultural Research.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Vere, David T. & Sinden, Jack A. & Campbell, M.H., 1980. "Social Benefits of Serrated Tussock Control in New South Wales," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 56(03), pages 1-16, December.
    2. Michael Harris & Alan Lloyd, 1991. "The Returns to Agricultural Research and the Underinvestment Hypothesis ‐ A Survey," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 24(3), pages 16-27, July.
    3. Norton, George W. & Davis, Jeffrey S., 1979. "Review Of Methods Used To Evaluate Returns To Agricultural Research," Staff Papers 13520, University of Minnesota, Department of Applied Economics.
    4. Wilson, Clevo & Tisdell, Clem, 2001. "Why farmers continue to use pesticides despite environmental, health and sustainability costs," Ecological Economics, Elsevier, vol. 39(3), pages 449-462, December.
    5. Miller, Gay & Rosenblatt, Joseph & Hushak, Leroy, 1987. "The Effects Of Supply Shifts On Producers Surplus," 1987 Annual Meeting, August 2-5, East Lansing, Michigan 270116, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Smith, Anna Rickett & Dorfman, Jeffrey H., 2002. "An Economic Evaluation Of Cotton And Peanut Research In Southeastern United States," 2002 Annual meeting, July 28-31, Long Beach, CA 19900, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Alston, Julian M. & Freebairn, John W. & James, Jennifer S., 2004. "Levy-funded research choices by producers and society," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 48(1), pages 1-32.
    8. Jarrett, Frank G. & Lindner, Robert K., 1977. "Research Benefits Revisited," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 45(04), pages 1-12, December.
    9. Alston, Julian M. & Chalfant, James A. & Pardey, Philip G., 1993. "Structural Adjustment In Oecd Agriculture: Government Policies And Technical Change," Working Papers 14473, University of Minnesota, Center for International Food and Agricultural Policy.
    10. Pedro Andres Garzon Delvaux & Heinrich Hockmann & Peter Voigt & Pavel Ciaian & Sergio Gomez y Paloma, 2018. "The impact of private R&D on the performance of food-processing firms: Evidence from Europe, Japan and North America," JRC Research Reports JRC104144, Joint Research Centre.
    11. ., 2013. "Using markets and marketlike mechanisms to manage a multidivisional business efficiently," Chapters, in: Competition, Diversity and Economic Performance, chapter 13, pages 253-278, Edward Elgar Publishing.
    12. Widmer, Lorne & Fox, Glenn & Brinkman, George, 1987. "The Rate of Return to Beef Cattle Research in Canda," Working Papers 244821, University of Guelph, Department of Food, Agricultural and Resource Economics.
    13. Pannell, David J. & Morrison, David A., 1994. "Towards a Decision Support System for Economic Evaluation of Agricultural Research," 1994 Conference (38th), February 8-10, 1994, Wellington, New Zealand 148530, Australian Agricultural and Resource Economics Society.
    14. Mullen, John D. & Alston, Julian M. & Wohlgenant, Michael K., 1989. "The Impact Of Farm And Processing Research On The Australian Wool Industry," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 33(1), pages 1-16, April.
    15. Edwards, Geoff W., 1987. "Evaluating the Research Benefits for Traded Commodities," Evaluating Agricultural Research and Productivity, Proceedings of a Workshop, Atlanta, Georgia, January 29-30, 1987, Miscellaneous Publication 52 50025, University of Minnesota, Agricultural Experiment Station.
    16. Pannell, D. J., 1999. "On the estimation of on-farm benefits of agricultural research," Agricultural Systems, Elsevier, vol. 61(2), pages 123-134, August.
    17. Frisvold, George B. & Sullivan, John & Raneses, Anton, 2003. "Genetic improvements in major US crops: the size and distribution of benefits," Agricultural Economics, Blackwell, vol. 28(2), pages 109-119, March.
    18. Kim, Yun-Shik & Sumner, Daniel A., 2005. "Measuring Research Benefits With Import Ban Restrictions, Quality Changes, Non-Market Influences On Adoption And Food Security Incentives," 2005 Annual meeting, July 24-27, Providence, RI 19148, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. 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.
    20. E. Pasour & Marc Johnson, 1982. "Bureaucratic productivity: The case of agricultural research revisited," Public Choice, Springer, vol. 39(2), pages 301-317, January.

    More about this item

    Keywords

    Productivity Analysis;

    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:remaae:12245. See general information about how to correct material in RePEc.

    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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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.

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

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.