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The changing structure of production: Argentine agriculture 1988-2002


  • Marcos Gallacher

    (Universidad del CEMA)


The agricultural sector of many countries shows increasing farm size with corresponding decrease in farm numbers. Despite abundant research, the determinants of these changes have not been clearly identified. This paper attempts to explain small firm survival in Argentine agriculture in the 1988 - 2002 period. The evidence suggests that labor market considerations, as well changing optimal size in response to production specialization are important factors affecting small-firm disappearance. In contrast, factor proportions (the K/L ratio) does not appear to have an impact on changes in firm size.

Suggested Citation

  • Marcos Gallacher, 2010. "The changing structure of production: Argentine agriculture 1988-2002," Económica, Departamento de Economía, Facultad de Ciencias Económicas, Universidad Nacional de La Plata, vol. 0, pages 3-28, January-D.
  • Handle: RePEc:lap:journl:569

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    References listed on IDEAS

    1. Schmitt, Gunther, 1989. "Farms, Farm Households, and Productivity of Resource Use in Agriculture," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 16(2), pages 257-284.
    2. Schmitt, Gunther, 1991. "Why Is the Agriculture of Advanced Western Economies Still Organized by Family Farms? Will This Continue to Be So in the Future?," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 18(3-4), pages 443-458.
    3. Kislev, Yoav & Peterson, Willis L., 1991. "Economies Of Scale In Agriculture: A Reexamination Of The Evidence," Staff Papers 13652, University of Minnesota, Department of Applied Economics.
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    Cited by:

    1. Jimena Gonzalez-Ramirez & Poonam Arora & Guillermo Podesta, 2018. "Using Insights from Prospect Theory to Enhance Sustainable Decision Making by Agribusinesses in Argentina," Sustainability, MDPI, Open Access Journal, vol. 10(8), pages 1-1, August.
    2. Zheng, Yanan & Goddard, Ellen W. & Qiu, Feng, 2018. "Exploring the Effect of Disease Outbreaks on Farm Structure Change: A Dynamic Analysis for Canadian Pig Industry," 2018 Annual Meeting, August 5-7, Washington, D.C. 273801, Agricultural and Applied Economics Association.
    3. Arora, Poonam & Bert, Federico & Podesta, Guillermo & Krantz, David H., 2015. "Ownership effect in the wild: Influence of land ownership on agribusiness goals and decisions in the Argentine Pampas," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 58(C), pages 162-170.
    4. Bert, Federico E. & Rovere, Santiago L. & Macal, Charles M. & North, Michael J. & Podestá, Guillermo P., 2014. "Lessons from a comprehensive validation of an agent based-model: The experience of the Pampas Model of Argentinean agricultural systems," Ecological Modelling, Elsevier, vol. 273(C), pages 284-298.
    5. Marcos Gallacher & Daniel Lema, 2014. "Argentine Agricultural Policy: Producer and Consumer Support. Estimates 2007-2012," CEMA Working Papers: Serie Documentos de Trabajo. 554, Universidad del CEMA.

    More about this item


    economies of scale; Argentine agriculture; agricultural labor markets;

    JEL classification:

    • D20 - Microeconomics - - Production and Organizations - - - General
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets


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