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New Econometric Evidence on Agricultural Total Factor Productivity Determinants: Impact of Funding Sources

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  • Huffman, Wallace
  • Evenson, Robert E.

Abstract

This paper examines the impact of public and private agricultural research and extension on agricultural total factor productivity at the state level. We test the hypothesis that the composition of agricultural experiment station funding—share of funding from impact of federal competitive grants and contracts and from federal formula and state government appropriations affects the productivity of public agricultural research using data for the 48 contiguous states over 19701999. Our results show not only that sources of funding matter, but that an increase in federal competitive grant funding at the expense of federal formula funding would lower the productivity of public agricultural research. Furthermore, our simulation results show that a few states would most likely gain by a reallocation of federal formula to grant and contract funding but most would lose.

Suggested Citation

  • Huffman, Wallace & Evenson, Robert E., 2003. "New Econometric Evidence on Agricultural Total Factor Productivity Determinants: Impact of Funding Sources," ISU General Staff Papers 200312010800001237, Iowa State University, Department of Economics.
  • Handle: RePEc:isu:genstf:200312010800001237
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    Cited by:

    1. Moss, Charles B., 2006. "Valuing State-Level Funding for Research: Results for Florida," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 38(1), pages 169-183, April.
    2. Huffman, Wallace & Evenson, Robert E., 2003. "Determinants of the Demand for State Agricultural Experiment Station Resources: A Demand-System Approach," Staff General Research Papers Archive 11175, Iowa State University, Department of Economics.
    3. Prajna Paramita Mishra & Ayan Kumar Pujari, 2008. "Impact of Mining on Agricultural Productivity," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 9(2), pages 337-350, September.
    4. Jeremy D. Foltz & Bradford L. Barham, 2009. "The Productivity Effects of Extension Appointments in Land-Grant Colleges," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 31(4), pages 712-733.
    5. Evenson, Robert E. & Rosegrant, Mark W. & Msangi, Siwa & Sulser, Timothy B., 2006. "Green Revolution Counterfactuals," 2006 Annual meeting, July 23-26, Long Beach, CA 21363, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Ukoha, O.O & Okoye, B.C & Emetu, J, 2010. "Analysis of the Determinants of Total Factor Productivity among Small-Holder Cassava Farmers in Ohafia L.G.A of Abia State," MPRA Paper 26125, University Library of Munich, Germany.
    7. Chan, Ming Ming & Shi, Qun & Tyers, Rodney, 2005. "Global Demographic Change and Economic Performance: Implications for Agricultural Markets," 2005 Conference (49th), February 9-11, 2005, Coff's Harbour, Australia 137808, Australian Agricultural and Resource Economics Society.

    More about this item

    JEL classification:

    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General

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