IDEAS home Printed from https://ideas.repec.org/p/ags/uerstb/157024.html
   My bibliography  Save this paper

Effects of Changes in U.S. Agricultural Production on Demand for Farm Inputs

Author

Listed:
  • Shoemaker, Robbin

Abstract

The economic concept of constant returns to scale (CRS) may be too restrictive to give an accurate description of the agricultural sector. CRS assumes that a change in the level of agricultural production yields an equivalent change in the level of all inputs (such as farm machinery, labor, energy, land). The model used here, however, demonstrates that demand varies more for some farm inputs than others with changes in farm output, input prices, and technology, and that this effect can he calculated. The model uses a decomposition technique to show the effects of each of those changes individually on farm inputs.

Suggested Citation

  • Shoemaker, Robbin, 1986. "Effects of Changes in U.S. Agricultural Production on Demand for Farm Inputs," Technical Bulletins 157024, United States Department of Agriculture, Economic Research Service.
    • Handle: RePEc:ags:uerstb:157024
    DOI: 10.22004/ag.econ.157024
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/157024/files/tb1722.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.157024?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. Binswanger, Hans P, 1974. "The Measurement of Technical Change Biases with Many Factors of Production," American Economic Review, American Economic Association, vol. 64(6), pages 964-976, December.
    2. D. W. Jorgenson & Z. Griliches, 1967. "The Explanation of Productivity Change," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 34(3), pages 249-283.
    3. Robert D. Weaver, 1983. "Multiple Input, Multiple Output Production Choices and Technology in the U.S. Wheat Region," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 65(1), pages 45-56.
    4. Ramon E. Lopez, 1984. "Estimating Substitution and Expansion Effects Using a Profit Function Framework," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 358-367.
    5. Toshiyuki Kako, 1978. "Decomposition Analysis of Derived Demand for Factor Inputs: The Case of Rice Production in Japan," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 60(4), pages 628-635.
    6. Fuss, Melvyn & McFadden, Daniel (ed.), 1978. "Production Economics: A Dual Approach to Theory and Applications," Elsevier Monographs, Elsevier, edition 1, number 9780444850133.
    7. Sosin, Kim H & Fairchild, Loretta G, 1984. "Nonhomotheticity and Technological Bias in Production," The Review of Economics and Statistics, MIT Press, vol. 66(1), pages 44-50, February.
    8. Lau, Lawrence J & Tamura, Shuji, 1972. "Economies of Scale, Technical Progress, and the Nonhomothetic Leontief Production Function: An Application to the Japanese Petrochemical Processing Industry," Journal of Political Economy, University of Chicago Press, vol. 80(6), pages 1167-1187, Nov.-Dec..
    9. V. Eldon Ball & Robert G. Chambers, 1982. "An Economic Analysis of Technology in the Meat Products Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(4), pages 699-709.
    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. Stan G. Daberkow & Katherine H. Reichelderfer, 1988. "Low-Input Agriculture: Trends, Goals, and Prospects for Input Use," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(5), pages 1159-1166.
    2. Kuo S. Huang, 1991. "Factor Demands in the U.S. Food-Manufacturing Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(3), pages 615-620.
    3. Rendleman, C. Matthew, 1993. "Estimation of Aggregate U.S. Demands for Fertilizer, Pesticides, and Other Inputs: A Model for Policy Analysis," Technical Bulletins 157035, United States Department of Agriculture, Economic Research Service.
    4. Thomas W. Hertel & Marinos E. Tsigas, 1988. "Tax Policy and U.S. Agriculture: A General Equilibrium Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(2), pages 289-302.
    5. Hertel, Thomas W. & Preckel, Paul V. & Huang, Wen-Yuan, 1989. "The CARD Linear Programming Model of U.S. Agriculture," Journal of Agricultural Economics Research, United States Department of Agriculture, Economic Research Service, vol. 41(2), pages 1-4.
    6. Atwood, Jay Dee & Hallam, Arne, 1990. "Farm Structure And Stewardship Of The Environment," 1990 Conference, January 6-9, Albuquerque, New Mexico 260176, Regional Research Committe NC-181: Determinants of Farm Size and Structure.

    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. Tocco,Barbara & Bailey, Alastair & Davidova, Sophia, 2013. "The Theoretical Framework and Methodology to Estimate the Farm Labour and Other Factor-Derived Demand and Output Supply Systems," Factor Markets Working Papers 156, Centre for European Policy Studies.
    2. Kivanda, Lena & Fox, Glenn, 1993. "Falsification and the Practice of Agricultural Production Economists: A Methodological Assessment," Department of Agricultural Economics and Business 258724, University of Guelph.
    3. Yumei Liu & Wuyang Hu & Simon Jetté-Nantel & Zhihong Tian, 2014. "The Influence of Labor Price Change on Agricultural Machinery Usage in Chinese Agriculture," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 62(2), pages 219-243, June.
    4. Aradhyula, Satheesh Venkata, 1989. "Policy structure, output supply and input demand for US crops," ISU General Staff Papers 198901010800009909, Iowa State University, Department of Economics.
    5. Giancarlo Moschini, 1988. "A Model of Production with Supply Management for the Canadian Agricultural Sector," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(2), pages 318-329.
    6. Murgai, Rinku, 2001. "The Green Revolution and the productivity paradox: evidence from the Indian Punjab," Agricultural Economics, Blackwell, vol. 25(2-3), pages 199-209, September.
    7. Lachaal, Lassaad & Chebil, Ali & Dhehibi, Boubaker, 2005. "Measuring factor substitution and technological change in the Tunisian agricultural sector, 1971 - 2000," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 6(2), pages 1-11.
    8. Perekhozhuk, Oleksandr, 2007. "Marktstruktur und Preisbildung auf dem ukrainischen Markt für Rohmilch," Studies on the Agricultural and Food Sector in Transition Economies, Leibniz Institute of Agricultural Development in Transition Economies (IAMO), volume 41, number 92322.
    9. R. Tiffin, 1991. "Production Choice In The England And Wales Dairy Sector," Journal of Agricultural Economics, Wiley Blackwell, vol. 42(3), pages 394-403, September.
    10. Kim, Tae-Kyun, 1989. "The factor bias of technical change and technology adoption under uncertainty," ISU General Staff Papers 1989010108000010138, Iowa State University, Department of Economics.
    11. McIntosh, Christopher S. & Shumway, C. Richard, 1991. "Multiproduct Production Choices And Policy Response," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 16(2), pages 1-13, December.
    12. Larson, Donald F. & Glance, Simon & Borrell, Brent & Ingco, Merlinda & Coleman, Jonathan, 1991. "Abolishing green rates : the effects on cereals, sugar, and oilseeds in West Germany," Policy Research Working Paper Series 607, The World Bank.
    13. Morrison, Catherine J., 1986. "Productivity measurement with non-static expectations and varying capacity utilization : An integrated approach," Journal of Econometrics, Elsevier, vol. 33(1-2), pages 51-74.
    14. Managi, Shunsuke & Opaluch, James J. & Jin, Di & Grigalunas, Thomas A., 2006. "Stochastic frontier analysis of total factor productivity in the offshore oil and gas industry," Ecological Economics, Elsevier, vol. 60(1), pages 204-215, November.
    15. Antle, John M. & Aitah, Ali S., 1984. "Egypt'S Multiproduct Agricultural Technology And Agricultural Policy," Working Papers 225790, University of California, Davis, Department of Agricultural and Resource Economics.
    16. Moschini, G. & Moro, D., 1993. "A Food demand System for Canada," Papers 1-93, Gouvernement du Canada - Agriculture Canada.
    17. Hossain, A K M Nurul & Serletis, Apostolos, 2020. "Technical change in U.S. industries," Economic Modelling, Elsevier, vol. 91(C), pages 579-600.
    18. Susanto Basu & John Fernald, 2001. "Why Is Productivity Procyclical? Why Do We Care?," NBER Chapters, in: New Developments in Productivity Analysis, pages 225-302, National Bureau of Economic Research, Inc.
    19. Adelaja, Adesoji & Hoque, Anwarul, 1985. "Estimating The Product Revenue Bias Of Technological Change," 1985 Annual Meeting, August 4-7, Ames, Iowa 278649, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    20. Craig Burnside & Martin Eichenbaum & Sergio Rebelo, 1995. "Capital Utilization and Returns to Scale," NBER Chapters, in: NBER Macroeconomics Annual 1995, Volume 10, pages 67-124, National Bureau of Economic Research, Inc.

    More about this item

    Keywords

    Agribusiness; Demand and Price Analysis;

    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:ags:uerstb:157024. 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/ersgvus.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.