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Economies of Size in Wheat Production

Author

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  • Longworth, John W.
  • McLeland, W.J.

Abstract

This paper investigates the relationship between the cost of producing wheat and the size of the wheat enterprise on farms in the Boolooroo Shire of New South Wales. The impact of seasonal variation and new technology on the cost/size relationship is also examined. The estimated longrun cost functions suggest that significant cost economies may be achieved as the area sown to wheat on a farm in the region concerned is increased to approximately 1,000 acres.

Suggested Citation

  • Longworth, John W. & McLeland, W.J., 1972. "Economies of Size in Wheat Production," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 40(02), pages 1-14, June.
    • Handle: RePEc:ags:remaae:9617
    DOI: 10.22004/ag.econ.9617
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    References listed on IDEAS

    as
    1. H. E. Erdman, 1944. "Interpretation of Variations in Cost Data for a Group of Individual Firms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(2), pages 388-391.
    2. Caleb A. Smith, 1955. "Survey of the Empirical Evidence on Economies of Scale," NBER Chapters, in: Business Concentration and Price Policy, pages 213-238, National Bureau of Economic Research, Inc.
    3. Ryan, James G., 1965. "Cost-Size and Revenue Relationships in the Cotton Growing Industry of South-Western New South Wales," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 33(02), pages 1-48, June.
    Full references (including those not matched with items on IDEAS)

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    Keywords

    Crop Production/Industries;

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