The relations between inputs in brazilian agriculture in the decade of 90: an application of the Translog function of cost

Authors

  • Rodrigo Vilela Rodrigues Universidade Federal Fluminense, Niterói, RJ, Brasil
  • Erly Cardoso Teixeira Universidade Federal de Viçosa, Viçosa, MG, Brasil

DOI:

https://doi.org/10.5902/141465093460

Keywords:

Elasticities, Translog cost, SUR, Agriculture

Abstract

The purpose of this paper is to determine the relationships between agricultural inputs from 1990 to 2001. This decade was fed up on policies that could have changed the pre-existing relationship between the demands of these inputs and their respective prices. Thus, it was used the translog cost function , based on the estimation of the plots of each input in the total cost of agriculture. The estimation was implemented by the model SUR, which takes into account the residual contemporary correlation. The results point to direct price-elasticities of demand by negative factors, although only the price-elasticity of demand for labour factor statistically different from zero. By the cross-elasticities among factors work and fertilizer, there is a relationship between those of substitution, and the demand for work far more sensitive to variations in the price of fertilizers that the opposite. It appears that capital and fertilizers are complementary, a fact that can support the growth of mechanization and the use of fertilizers in agriculture, especially in the last decade...

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References

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Published

2008-06-01

How to Cite

Rodrigues, R. V., & Teixeira, E. C. (2008). The relations between inputs in brazilian agriculture in the decade of 90: an application of the Translog function of cost. Economia E Desenvolvimento, (20). https://doi.org/10.5902/141465093460

Issue

N. 20, 2008

Section

Articles

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