IDEAS home Printed from https://ideas.repec.org/p/cte/werepe/we1501.html
   My bibliography  Save this paper

Real Capital Input in OECD Agriculture: A Multinational Comparison

Author

Listed:
  • San Juan, Carlos
  • Ball, V. Eldon
  • Butault, Jean-Pierre
  • Nehring, Richard

Abstract

This paper provides a farm sector comparison of relative levels of capital input for seventeen OECD countries for the period 1973-2011. The starting point for construction of a measure of capital input is the measurement of capital stock. Estimates of depreciable capital are derived by representing capital stock at each point of time as a weighted sum of past investments. The weights correspond to the relative efficiencies of capital goods of different ages, so that the weighted components of capital stock have the same efficiency. The capital stocks of land are measured as implicit quantities derived from balance sheet data. We convert estimates of capital stock into estimates of capital service flows by means of capital rental prices. Implicit rental prices for each asset are based on the correspondence between the purchase price of the asset and the discounted value of future service flows derived from that asset. Finally, comparisons of levels of capital input among countries require data on relative prices of capital input. We obtain relative price levels for capital input via relative investment goods prices, taking into account the flow of capital input per unit of capital stock in each country.

Suggested Citation

  • San Juan, Carlos & Ball, V. Eldon & Butault, Jean-Pierre & Nehring, Richard, 2015. "Real Capital Input in OECD Agriculture: A Multinational Comparison," UC3M Working papers. Economics we1501, Universidad Carlos III de Madrid. Departamento de Economía.
    • Handle: RePEc:cte:werepe:we1501
    as

    Download full text from publisher

    File URL: https://e-archivo.uc3m.es/bitstream/handle/10016/19957/we1501.pdf?sequence=1
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "Multilateral Comparisons of Output, Input, and Productivity Using Superlative Index Numbers," Economic Journal, Royal Economic Society, vol. 92(365), pages 73-86, March.
    2. Robert F. J. Romain & John B. Penson jr. & Rémy E. Lambert, 1987. "Capacity Depreciation, Implicit Rental Price, and Investment Demand for Farm Tractors in Canada," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 35(2), pages 373-385, July.
    3. Eldon Ball & David Schimmelpfennig & Sun Ling Wang, 2013. "Is U.S. Agricultural Productivity Growth Slowing?," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 35(3), pages 435-450.
    4. Yue Jin Shi & Timothy T. Phipps & Dale Colyer, 1997. "Agricultural Land Values under Urbanizing Influences," Land Economics, University of Wisconsin Press, vol. 73(1), pages 90-100.
    5. John B. Penson & Dean W. Hughes & Glenn L. Nelson, 1977. "Measurement of Capacity Depreciation Based on Engineering Data," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(2), pages 321-329.
    Full references (including those not matched with items on IDEAS)

    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. Virgil Eldon Ball & Carlos San Juan Mesonada & Carlos Sunyer Manteiga & Kennet Ericson & Yu Sheng, 2023. "Technology catch‐up in agriculture among advanced economies," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 67(1), pages 18-37, January.
    2. V. Eldon Ball & Sean Cahill & Carlos San Juan Mesonada & Richard Nehring & Yu Sheng, 2016. "Comparisons of Capital Input in OECD Agriculture, 1973-2011," Review of Economics & Finance, Better Advances Press, Canada, vol. 6, pages 25-48, August.
    3. Ball, V. Eldon & Nehring, Richard & Mesonada, Carlos San Juan & Sheng, Yu, 2016. "Comparisons of Real Values of Capital Input," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235914, Agricultural and Applied Economics Association.
    4. Yu Sheng & V. Eldon Ball & Kenneth Erickson & Carlos San Juan Mesonada, 2022. "Cross-country agricultural TFP convergence and capital deepening: evidence for induced innovation from 17 OECD countries," Journal of Productivity Analysis, Springer, vol. 58(2), pages 185-202, December.
    5. V. Eldon Ball & W. A. Lindamood & Richard Nehring & Carlos San Juan Mesonada, 2008. "Capital as a factor of production in OECD agriculture: measurement and data," Applied Economics, Taylor & Francis Journals, vol. 40(10), pages 1253-1277.
    6. Ahearn, Mary Clare & Yee, Jet & Ball, V. Eldon & Nehring, Richard F., 1998. "Agricultural Productivity in the United States," Agricultural Information Bulletins 33687, United States Department of Agriculture, Economic Research Service.
    7. Unknown, 1994. "Evaluating Agricultural Research And Productivity In An Era Of Resource Scarcity," Staff Papers 14039, University of Minnesota, Department of Applied Economics.
    8. V. Eldon Ball & Richard Nehring & Sun Ling Wang, 2016. "Productivity Growth in U.S. Agriculture: 1948-2013," International Productivity Monitor, Centre for the Study of Living Standards, vol. 30, pages 64-76, Spring.
    9. Yu Sheng & Eldon Ball & Katerina Nossal, 2015. "Comparing Agricultural Total Factor Productivity between Australia, Canada, and the United States, 1961-2006," International Productivity Monitor, Centre for the Study of Living Standards, vol. 29, pages 38-59, Fall.
    10. Matthew A. Andersen, 2018. "Age-Efficiency and Replacement Requirements for Measures of Capital Services," Review of Economics & Finance, Better Advances Press, Canada, vol. 13, pages 55-61, August.
    11. Barnett, William A. & Erwin Diewert, W. & Zellner, Arnold, 2011. "Introduction to measurement with theory," Journal of Econometrics, Elsevier, vol. 161(1), pages 1-5, March.
    12. Jan Kluge & Sarah Lappöhn & Kerstin Plank, 2023. "Predictors of TFP growth in European countries," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 50(1), pages 109-140, February.
    13. Zaim, Osman & Uygurtürk Gazel, Tuğçe & Akkemik, K. Ali, 2017. "Measuring energy intensity in Japan: A new method," European Journal of Operational Research, Elsevier, vol. 258(2), pages 778-789.
    14. Zanella, Andreia & Camanho, Ana S. & Dias, Teresa G., 2015. "Undesirable outputs and weighting schemes in composite indicators based on data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 245(2), pages 517-530.
    15. Shuhua Zhang & Bingjun Li & Yingjie Yang, 2021. "Efficiency Analysis of Scientific and Technological Innovation in Grain Production Based on Improved Grey Incidence Analysis," Agriculture, MDPI, vol. 11(12), pages 1-21, December.
    16. Mairesse, Jacques & Mohnen, Pierre, 2001. "To Be Or Not To Be Innovative: An Exercise In Measurement," Research Memorandum 038, Maastricht University, Maastricht Economic Research Institute on Innovation and Technology (MERIT).
    17. Wolfgang Keller, 2002. "Geographic Localization of International Technology Diffusion," American Economic Review, American Economic Association, vol. 92(1), pages 120-142, March.
    18. Aghayi, Nazila & Maleki, Bentolhoda, 2016. "Efficiency measurement of DMUs with undesirable outputs under uncertainty based on the directional distance function: Application on bank industry," Energy, Elsevier, vol. 112(C), pages 376-387.
    19. Henry van der Wiel & Harold Creusen & George van Leeuwen & Eugene Van der Pijll, 2012. "The Dutch Productivity Performance: Cross Your Border and Look Around," Chapters, in: Matilde Mas & Robert Stehrer (ed.), Industrial Productivity in Europe, chapter 14, Edward Elgar Publishing.
    20. Sourafel Girma & Holger Görg, 2022. "Productivity effects of processing and ordinary export market entry: A time‐varying treatments approach," Review of International Economics, Wiley Blackwell, vol. 30(3), pages 836-853, August.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:cte:werepe:we1501. 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: Ana Poveda (email available below). General contact details of provider: http://www.eco.uc3m.es/ .

    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.