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Research and Productivity in Mexican Agriculture


  • Jorge Fernandez-Cornejo
  • C. Richard Shumway


Partial and total factor productivity (TFP) measures of Mexican agriculture are calculated for 1960–90. The long-run effects of research and international transfer of technology on TFP are examined over the 1940-90 period using cointegration procedures. TFP increased at an average annual rate of 2.5%, exceeding the corresponding growth in the United States (2.1%). TFP grew particularly fast in the 1960s and 1970s. A 1% rise in research investment increased TFP by 0.13%, and a 1% increase in U.S. TFP translated into a 1.11% increase in Mexican TFP. The average annual rate of return to research investment is about 64%. Copyright 1997, Oxford University Press.

Suggested Citation

  • Jorge Fernandez-Cornejo & C. Richard Shumway, 1997. "Research and Productivity in Mexican Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(3), pages 738-753.
  • Handle: RePEc:oup:ajagec:v:79:y:1997:i:3:p:738-753

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    References listed on IDEAS

    1. Machina, Mark J, 1982. ""Expected Utility" Analysis without the Independence Axiom," Econometrica, Econometric Society, vol. 50(2), pages 277-323, March.
    2. Chambers,Robert G., 1988. "Applied Production Analysis," Cambridge Books, Cambridge University Press, number 9780521314275, March.
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    Cited by:

    1. Lin, Ni & Davis, George C. & Shumway, C. Richard, 1998. "Aggregation Without Separability: Tests Of U.S. And Mexican Agricultural Production Data," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20927, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Esposti, Roberto & Pierani, Pierpaolo, 2000. "Modelling technical change in Italian agriculture: a latent variable approach," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 22(3), April.
    3. Jones, Keithly G. & Arnade, Carlos Anthony, 2003. "A Joint Livestock-Crop Multi-Factor Relative Productivity Approach," 2003 Annual Meeting, February 1-5, 2003, Mobile, Alabama 35157, Southern Agricultural Economics Association.
    4. Carlos E. Ludeña, 2010. "Agricultural Productivity Growth, Efficiency Change and Technical Progress in Latin America and the Caribbean," IDB Publications (Working Papers) 1806, Inter-American Development Bank.
    5. Amponsah, Lawrence, 2016. "Modelling the effect of public investment on agricultural productivity in Ghana," MPRA Paper 70924, University Library of Munich, Germany.
    6. Pingali, Prabhu L. & Heisey, Paul W., 1999. "Cereal Crop Productivity in Developing Countries: Past Trends and Future Prospects," Economics Working Papers 7682, CIMMYT: International Maize and Wheat Improvement Center.
    7. Nasir nadeem, Dr. & khalid Mushtaq, Dr., 2010. "Role of Agricultural Research and Extension in Enhancing Agricultural Productivity in Punjab, Pakistan," MPRA Paper 27769, University Library of Munich, Germany.
    8. Salvator Nkunzimana & H. Alan Love & C. Richard Shumway, 2003. "Mexican agricultural trade under the GATT," Applied Economics, Taylor & Francis Journals, vol. 35(4), pages 449-459.
    9. Miguel Martín-Retortillo & Vicente Pinilla & Jackeline Velazco & Henry Willebald, 2016. "The dynamics of latin american agricultural production growth, 1950-2008," Documentos de Trabajo (DT-AEHE) 1610, Asociacion Espa–ola de Historia Economica.
    10. Fernandez-Cornejo, Jorge, 2004. "The Seed Industry In U.S. Agriculture: An Exploration Of Data And Information On Crop Seed Markets, Regulation, Industry Structure, And Research And Development," Agricultural Information Bulletins 33671, United States Department of Agriculture, Economic Research Service.
    11. Carlos E. Ludeña, 2010. "Agricultural Productivity Growth, Efficiency Change and Technical Progress in Latin America and the Caribbean," IDB Publications (Working Papers) 1806, Inter-American Development Bank.
    12. Akbar, Muhammad & Jamil, Faisal, 2012. "Monetary and fiscal policies' effect on agricultural growth: GMM estimation and simulation analysis," Economic Modelling, Elsevier, vol. 29(5), pages 1909-1920.
    13. Guisan, M.Carmen & Exposito, P, 2001. "La agricultura en España y en la OCDE, 1900-2000," Regional and Sectoral Economic Studies, Euro-American Association of Economic Development, vol. 1(2), pages 97-120.
    14. Fuglie, Keith, 0. "Accounting for growth in global agriculture," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), issue 3.
    15. Guisan, M.Carmen & Exposito, Pilar, 2002. "Econometric Models of Agriculture in OECD Countries: Production, Income, and Agrarian Employment in Spain, France, Japan, and the Usa, 1965-99," Economic Development 60, University of Santiago de Compostela. Faculty of Economics and Business. Econometrics..

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