By Bruce L. Gardner and Gordon C. Rausser (Eds.)
This primary quantity of the ''Handbook of Agricultural Economics'' provides paintings on subject matters primary to the economics of agriculture: the quantitative illustration of expertise; marketplace expectancies; loved ones construction behaviour; client behaviour with doubtful caliber and safeguard of products; and problems with imperfect pageant in meals advertising. quantity 1A treats matters in agricultural creation, representing the implications of a long time of labor deepening and widening the unique concentration of agricultural economics on farm administration. as well as the idea and estimation of construction and provide behaviour in agriculture, chapters are dedicated to subject matters on which significant developments were made: technological switch; returns to agricultural study; the commercial constitution of agriculture, land associations and markets; and human capital and finance. chapters are extra really expert to rural labour and loved ones matters: migration and the function of ladies in constructing nations
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8. The rate of technical change As indicated above, all measures of technical change refer to changes in the implemented technology and thus report not only on the advances in knowledge but also on its implementation. Direct measures deal mainly with changes in the TFP and not with its bias. The latter is the subject of the studies based on duality to be discussed below. We summarize some results to give orders of magnitude to the changes in the TFP and its importance. Ball (1985) calculates total factor productivity growth using constructed TornqvistTheil indexes of outputs and inputs for US agriculture for the period 1948-1979 based on data adjusted for quality variations.
The substitution of hired labor for machines is much smaller than that between labor and fertilizers. Also, Ray finds substitution between labor and fertilizer, in contrast to Binswanger (1974), who claims complementarity. 34 Y. Mundlak Kako (1978) uses a translog cost function to study rice production in Japan in 19531970. Constant returns to scale is imposed, and technical change is measured by time trend with different slopes for three subperiods. 4; the rice area did not change. 7 percent. The input changes are decomposed to output effect, substitution (or price) effect, and technical change.
In any case, this procedure is only adequate if the coefficients estimated in the first stage are independent of the variables that explain the changes in the TFR This is a strong assumption that needs empirical support, and it is inconsistent with the result reported in [McGuirk and Mundlak (1991)]. The new productive varieties are more intensive in irrigation and fertilizers, which have been scarce resources. 9. P r i m a l e s t i m a t e s - s u m m a r y The centerpiece in primal estimation is the Cobb-Douglas function.
Agricultural Production by Bruce L. Gardner and Gordon C. Rausser (Eds.)