IDEAS home Printed from https://ideas.repec.org/p/ags/eaae89/232598.html
   My bibliography  Save this paper

Assessment of Simulation Behavior of Different Mathematical Programming Approaches

Author

Listed:
  • Gocht, Alexander

Abstract

This paper investigates the simulation behaviour of different PMP methods being developed in the past. About 800 of identical farms for eight years from the German FADN 1 were used to aggregate 45 farm groups. The aggregated farms were calibrated for 1996/97 and the observed prices, direct payments and yields for 2002/03 were applied. The ex-post simulation results underline that the simulation behaviour is mainly controlled by the considered PMP methodology. Even the Maximum Entropy approach proposed by Paris and Howitt (1998) for one observation on base year allocation did not improve the findings. In addition first experiences with an alternative model to PMP where the Q matrix is recovered using multiple observation proposed by Heckelei and Wolff (2003) are illustrated for one particular farm.

Suggested Citation

  • Gocht, Alexander, 2005. "Assessment of Simulation Behavior of Different Mathematical Programming Approaches," 89th Seminar, February 2-5, 2005, Parma, Italy 232598, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae89:232598
    DOI: 10.22004/ag.econ.232598
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/232598/files/Gocht%202005%20Assessment%20of%20Simulation%20Behavior%20of%20Different%20Mathematical%20Programming%20Approaches.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.232598?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Thomas Heckelei & Hendrik Wolff, 2003. "Estimation of constrained optimisation models for agricultural supply analysis based on generalised maximum entropy," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 30(1), pages 27-50, March.
    2. Heckelei, Thomas & Britz, Wolfgang, 2000. "Positive Mathematical Programming with Multiple Data Points: A Cross-Sectional Estimation Procedure," Cahiers d'Economie et de Sociologie Rurales (CESR), Institut National de la Recherche Agronomique (INRA), vol. 57.
    3. Richard E. Howitt, 1995. "Positive Mathematical Programming," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(2), pages 329-342.
    4. Howitt, Richard E. & Mean, Phillippe, 1983. "A Positive Approach to Microeconomic Programming Models," Working Papers 225710, University of California, Davis, Department of Agricultural and Resource Economics.
    5. Golan, Amos & Judge, George G. & Miller, Douglas, 1996. "Maximum Entropy Econometrics," Staff General Research Papers Archive 1488, Iowa State University, Department of Economics.
    6. Quirino Paris, 2001. "Symmetric Positive Equilibrium Problem: A Framework for Rationalizing Economic Behavior with Limited Information," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(4), pages 1049-1061.
    7. Quirino Paris & Richard E. Howitt, 1998. "An Analysis of Ill-Posed Production Problems Using Maximum Entropy," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(1), pages 124-138.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Blanco, Maria & Cortignani, Raffaele & Severini, Simone, 2008. "Evaluating Changes in Cropping Patterns due to the 2003 CAP Reform. An Ex-post Analysis of Different PMP Approaches Considering New Activities," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6674, European Association of Agricultural Economists.
    2. Mack, Gabriele & Ferjani, Ali & Kranzlein, Tim & Mann, Stefan, 2007. "How Can The Energy Use In Swiss Agriculture Be Assessed In Economic And Ecological Terms?," 47th Annual Conference, Weihenstephan, Germany, September 26-28, 2007 7599, German Association of Agricultural Economists (GEWISOLA).
    3. Mack, Gabriele & Mohring, Anke & Zimmermann, Albert & Gennaio, Maria-Pia & Mann, Stefan & Ferjani, Ali, 2011. "Farm Entry Policy and Its Impact on Structural Change Analysed by and Agent-based Sector Model," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114374, European Association of Agricultural Economists.
    4. Mack, G. & Schaak, D. & Mann, S., 2006. "Die Schweiz in der EU? Modellberechnungen zu den Konsequenzen einer Mitgliedschaft für den Schweizerischen Agrarsektor," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 41, March.
    5. Ali Ferjani & Albert Zimmermann, 2013. "Modelling structural-change-related shifts in labour input in the agent-based sector model SWISSland," Journal of Socio-Economics in Agriculture (Until 2015: Yearbook of Socioeconomics in Agriculture), Swiss Society for Agricultural Economics and Rural Sociology, vol. 6(1), pages 177-200.
    6. Mack, G. & Ferjani, A. & Kränzlein, T. & Mann, S., 2008. "Wie ist der Energieinput der Schweizer Landwirtschaft aus ökonomischer und ökologischer Sicht zu beurteilen?," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 43, March.
    7. Cortignani, Raffaele & Severini, Simone, 2010. "The impact of reforming the Common Agricultural Policy on the sustainability of the irrigated area of Central Italy. An empirical assessment by means of a Positive Mathematical Programming model," 120th Seminar, September 2-4, 2010, Chania, Crete 109318, European Association of Agricultural Economists.
    8. Barkaoui, Ahmed, 2008. "Utilization Of Relative Land Allocation In The Calibration Of Agriculture Supply Models By The Pmp Approach," 109th Seminar, November 20-21, 2008, Viterbo, Italy 44859, European Association of Agricultural Economists.
    9. Arfini, Filippo & Donati, Michele & Marongiu, Sonia & Cesaro, Luca, 2012. "Farm production costs estimation trough PMP Models: an application in three Italian Regions," 2012 First Congress, June 4-5, 2012, Trento, Italy 124117, Italian Association of Agricultural and Applied Economics (AIEAA).
    10. Christian Schader & Jürn Sanders & Thomas Nemecek & Nic Lampkin & Matthias Stolze, 2008. "A Modelling Approach for Evaluating Agri-Environmental Policies at Sector Level," Journal of Socio-Economics in Agriculture (Until 2015: Yearbook of Socioeconomics in Agriculture), Swiss Society for Agricultural Economics and Rural Sociology, vol. 1(1), pages 93-132.
    11. Mack, Gabriele & Ferjani, Ali & Mohring, Anke & Zimmerman, Albert & Mann, Stefan, 2015. "How did farmers act? An ex-post validation of normative and positive mathematical programming for an agent-based sector model," 2015 Conference, August 9-14, 2015, Milan, Italy 212201, International Association of Agricultural Economists.
    12. Mack, Gabriele & Mann, Stefan, 2008. "Defining elasticities for PMP models by estimating marginal cost functions based on FADN Data - the case of Swiss dairy production," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6694, European Association of Agricultural Economists.
    13. Lee, Hwarang & Eom, Jiyong & Cho, Cheolhung & Koo, Yoonmo, 2019. "A bottom-up model of industrial energy system with positive mathematical programming," Energy, Elsevier, vol. 173(C), pages 679-690.
    14. Anke Möhring & Gabriele Mack & Albert Zimmermann & Maria Pia Gennaio & Stefan Mann & Ali Ferjani, 2011. "Modellierung von Hofübernahmeund Hofaufgabeentscheidungen in agentenbasierten Modellen," Journal of Socio-Economics in Agriculture (Until 2015: Yearbook of Socioeconomics in Agriculture), Swiss Society for Agricultural Economics and Rural Sociology, vol. 4(1), pages 163-188.

    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. Heckelei, Thomas & Britz, Wolfgang, 2005. "Models Based on Positive Mathematical Programming: State of the Art and Further Extensions," 89th Seminar, February 2-5, 2005, Parma, Italy 234607, European Association of Agricultural Economists.
    2. Arfini, Filippo & Donati, Michele & Grossi, L. & Paris, Quirino, 2008. "Revenue and Cost Functions in PMP: a Methodological Integration for a Territorial Analysis of CAP," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6636, European Association of Agricultural Economists.
    3. Arfini, Filippo & Donati, Michele & Paris, Quirino, 2008. "Innovation in Estimation of Revenue and Cost Functions in PMP Using FADN Information at Regional Level," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44008, European Association of Agricultural Economists.
    4. Frahan, Bruno Henry de, 2005. "PMP, Extensions and Alternative Methods: Introductory Review of the State of the Art," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24537, European Association of Agricultural Economists.
    5. Arfini, Filippo & Donati, Michele & Marongiu, Sonia & Cesaro, Luca, 2012. "Farm production costs estimation trough PMP Models: an application in three Italian Regions," 2012 First Congress, June 4-5, 2012, Trento, Italy 124117, Italian Association of Agricultural and Applied Economics (AIEAA).
    6. Polome, Philippe & Fernagut, Bruno & Harmignie, Olivier & Frahan, Bruno Henry de, 2005. "Multi-input Multi-output Farm-level Cost Function: A Comparison of Least Squares and Entropy Estimators," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24727, European Association of Agricultural Economists.
    7. Affuso, Ermanno & Hite, Diane, 2013. "A model for sustainable land use in biofuel production: An application to the state of Alabama," Energy Economics, Elsevier, vol. 37(C), pages 29-39.
    8. Britz, Wolfgang & Linda, Arata, "undated". "How Important Are Crop Shares In Managing Risk For Specialized Arable Farms? A Panel Estimation Of A Programming Model For Three European Regions," 56th Annual Conference, Bonn, Germany, September 28-30, 2016 244801, German Association of Agricultural Economists (GEWISOLA).
    9. Msangi, Siwa & Howitt, Richard E., 2006. "Estimating Disaggregate Production Functions: An Application to Northern Mexico," 2006 Annual meeting, July 23-26, Long Beach, CA 21080, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Fragoso, R. & Marques, C. & Lucas, M.R. & Martins, M.B. & Jorge, R., 2011. "The economic effects of common agricultural policy on Mediterranean montado/dehesa ecosystem," Journal of Policy Modeling, Elsevier, vol. 33(2), pages 311-327, March.
    11. Doole, Graeme J. & Marsh, Dan K., 2014. "Methodological limitations in the evaluation of policies to reduce nitrate leaching from New Zealand agriculture," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 58(1), January.
    12. Petsakos, Athanasios & Rozakis, Stelios, 2011. "Integrating risk and uncertainty in PMP models," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114762, European Association of Agricultural Economists.
    13. Alain Carpentier & Elodie Letort, 2010. "Simple econometric models for short term production choices in cropping systems," Working Papers SMART 10-11, INRAE UMR SMART.
    14. Mohammad Ali Asaadi & Seyed Abolghasem Mortazavi & Omid Zamani & Gholam Hassan Najafi & Talal Yusaf & Seyed Salar Hoseini, 2019. "The Impacts of Water Pricing and Non-Pricing Policies on Sustainable Water Resources Management: A Case of Ghorveh Plain at Kurdistan Province, Iran," Energies, MDPI, vol. 12(14), pages 1-16, July.
    15. Heckelei, Thomas & Mittelhammer, Ronald C. & Jansson, Torbjorn, 2008. "A Bayesian Alternative To Generalized Cross Entropy Solutions For Underdetermined Econometric Models," Discussion Papers 56973, University of Bonn, Institute for Food and Resource Economics.
    16. Louhichi, Kamel & Jacquet, Florence & Butault, Jean Pierre, 2012. "Estimating input allocation from heterogeneous data sources: A comparison of alternative estimation approaches," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 13(2), pages 1-20.
    17. Jansson, Torbjorn & Heckelei, Thomas, 2008. "Regional crop supply behaviour in the EU," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44009, European Association of Agricultural Economists.
    18. Cortignani, Raffaele & Severini, Simone, 2010. "The impact of reforming the Common Agricultural Policy on the sustainability of the irrigated area of Central Italy. An empirical assessment by means of a Positive Mathematical Programming model," 120th Seminar, September 2-4, 2010, Chania, Crete 109318, European Association of Agricultural Economists.
    19. Lee, Hwarang & Eom, Jiyong & Cho, Cheolhung & Koo, Yoonmo, 2019. "A bottom-up model of industrial energy system with positive mathematical programming," Energy, Elsevier, vol. 173(C), pages 679-690.
    20. Heckelei, T. & Wolff, H., 2001. "Ansätze zur (Auf-)Lösung eines alten Methodenstreits: Ökonometrische Spezifikation von Programmierungsmodellen zur Agrarangebotsanalyse," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 37.

    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:ags:eaae89:232598. 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: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/eaaeeea.html .

    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.