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The Effect Of Government Programs On Acreage Response Over Time: The Case Of Corn Production In Iowa

  • McIntosh, Christopher S.
  • Shideed, Kamil H.
Registered author(s):

    Corn acreage response in Iowa is examined using a time-varying parameter regression model. Separate estimates of the permanent portion of the parameter vector are obtained for each year over the period 1957-82. The estimated elasticities are grouped into “program” and “nonprogram” periods. The results indicate corn acreage response is more own-price elastics, and the elasticity is less variable under government acreage control programs than under a “nonprogram” regime. The assumption of parameter constancy is shown to be inappropriate for modeling Iowa corn acreage response over time.

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    File URL: http://purl.umn.edu/32462
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    Article provided by Western Agricultural Economics Association in its journal Western Journal of Agricultural Economics.

    Volume (Year): 14 (1989)
    Issue (Month): 01 (July)
    Pages:

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    Handle: RePEc:ags:wjagec:32462
    Contact details of provider: Web page: http://waeaonline.org/

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    1. Rausser, Gordon C. & Just, Richard E, 1981. "Principles of policy modeling in agriculture," CUDARE Working Paper Series 213, University of California at Berkeley, Department of Agricultural and Resource Economics and Policy.
    2. Houck, James P., 1976. "Analyzing the Impact of Government Programs on Crop Acreage," Technical Bulletins 158119, United States Department of Agriculture, Economic Research Service.
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